In Which of the Following Regions Is Smog Most Likely

question 68

Multiple Choice

In which of the following regions is smog most likely to be a concern?

• A)at the top of Mount Rainier
• B)along the Florida coastline
• C)in the San Fernando Valley
• D)over an industrial farm in Nebraska

---

Definitions:

Contractionary Gaps

Contractionary gaps occur when an economy’s actual output is lower than its potential output, often leading to unemployment and underutilized resources.

Aggregate Demand

The total demand for all goods and services within an economy at various price levels, in a given time period.

Expansionary Gap

A situation where the actual economic output exceeds the potential output, often leading to inflation.

Short-Run Aggregate Supply

This is the total supply of goods and services that firms in an economy plan on selling during a short time period, taking into account current prices.