When Actual GDP Does Not Rise as Fast as Potential

question 116

Multiple Choice

When actual GDP does not rise as fast as potential GDP, the economy most likely will experience

• A)inflation.
• B)recession.
• C)economic growth.
• D)falling unemployment.

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Definitions:

Potassium

A chemical element with the symbol K and atomic number 19, a soft, silvery-white metal, essential for living organisms and used in many industries.

Chlorine

A chemical element with symbol Cl, known for its strong disinfectant properties, widely used in water purification, bleaches, and manufacturing of numerous products.

Limiting Reagent

The reactant in a chemical reaction that is completely consumed first, limiting the amount of product formed.

Hydrogen

A chemical element with the symbol H and atomic number 1, it is the lightest and most abundant chemical substance in the universe.