What Is Potential GDP? What Happens to Unemployment When GDP

question 58

Essay

What is potential GDP? What happens to unemployment when GDP is at its potential?

---

Definitions:

Decompression

The reduction of pressure around a body, often used in contexts related to diving or escaping from high-pressure environments.

Melting Mantle

The process by which mantle rock heats and begins to liquify, often leading to volcanic activity.

Conduction

The transfer of heat or electricity through a substance, without movement of the material, typically occurring in solids.

Continental Rifts

Regions where the Earth's crust is being pulled apart due to tectonic forces, often leading to the formation of new ocean basins.