If the Expenditure Schedule Must Be Shifted Upward to Reach

question 84

Multiple Choice

If the expenditure schedule must be shifted upward to reach potential GDP, then the economy is experiencing a(n)

• A)inflationary gap.
• B)precautionary gap.
• C)recessionary gap.
• D)expansionary gap.

---

Definitions:

Growth of People

The development or improvement of individuals in various aspects such as skills, knowledge, personal attributes, and overall capability, often a goal in educational and professional contexts.

Golem Effect

A psychological phenomenon where lower expectations placed upon individuals either by themselves or others lead to poorer performance.

Failure Syndrome

A persistent feeling or belief of inadequacy rooted in repeated experiences of failure or lack of success.

Personal Conditions

The circumstances or factors that pertain to an individual's life, including health, financial status, and personal relationships.