Table 11.7 
-Refer to Table 11.7.Suppose the table above illustrates the values of real and potential GDP and the price level if the Bank of Canada does not change its current policy to be more contractionary or expansionary.Suppose that the Bank of Canada uses an appropriate policy and is successful in keeping real GDP at potential in 2015.State whether each of the following will be higher or lower than if the Bank of Canada had taken no action:
a.real GDP
b.potential real GDP
c.the price level
d.the unemployment rate
Definitions:
Human Capacity
The potential or ability inherent in humans to think, learn, adapt, and engage in complex activities.
Fête Galante
French, “gallant [outdoor] party.”
Antoine Watteau
A French painter whose works reflected the Rococo style, known for his lyrical views of aristocratic life, marked by fluidity and use of gentle colors.
Upper Classes
The social group at the top of a societal hierarchy, often possessing significant wealth, power, and influence.
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