When Real GDP Grows More Slowly Than Potential GDP

question 120

Multiple Choice

When real GDP grows more slowly than potential GDP,

• A) nominal GDP rises.
• B) the unemployment rate falls.
• C) labor productivity falls.
• D) the unemployment rate rises.

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Definitions:

Common Ancestor

The most recent individual from which all organisms in a group are directly descended.

Million Years

A unit of time used in geology, paleontology, and astronomy, equivalent to 1,000,000 years, often used to date events or processes on a geological time scale.

Chimpanzees

A species of great apes known for their intelligence and complex social behaviors, closely related to humans and sharing approximately 98% of our genetic DNA.

Closely Related

Closely related refers to entities that share a significant amount of common characteristics or genetic material, often leading to similarities in form, function, or behavior.