When Actual Output Exceeds Potential Output, _____

question 74

Multiple Choice

When actual output exceeds potential output, _____

• A) more resources become unemployed.
• B) prices remain constant.
• C) prices tend to increase.
• D) nominal GDP decreases.
• E) resource prices decrease.

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Definitions:

Nuanced

Characterized by subtle and fine distinctions in meaning, expression, or detail.

Empirical

Pertaining to information acquired by observation or experimentation, used as a basis for knowledge and theory.

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In a manner that involves the systematic analysis or logical assessment of something.

Research Question

A specific query that guides a scientific study or research project.