When No Output Gap Exists Actual Output ________ Potential Output

question 16

Multiple Choice

When no output gap exists actual output ________ potential output and the rate of inflation will tend to ________.

• A)exceeds; increase
• B)exceeds; decrease
• C)is less than; decrease
• D)equals; remain the same

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Definitions:

Tangible Awards

Physical representations or items given as recognition of achievement, service, or excellence.

Growth

Refers to the process of increasing in size, number, value, or strength.

Introspection

The process of examining one's own thoughts and feelings.

Self-analysis

is the process by which an individual reflects on and critically assesses their thoughts, feelings, and behaviors to gain self-awareness.