Table 16-4 -Refer to Table 16-4.Consider the Hypothetical Information in the Table

question 296

Multiple Choice

Table 16-4

-Refer to Table 16-4.Consider the hypothetical information in the table above for potential real GDP,real GDP,and the price level in 2018 and in 2019 if Congress and the president do not use fiscal policy.If Congress and the president use fiscal policy successfully to keep real GDP at its potential level in 2019,which of the following will be lower than if Congress and the president had taken no action?

• A)real GDP and the unemployment rate
• B)real GDP and the inflation rate
• C)real GDP and potential GDP
• D)potential GDP and the inflation rate

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Definitions:

Power Structure

The organization of power and authority within a society, group, or organization, determining how decisions are made and who makes them.

Communication Structure

The organized pattern or arrangement by which information is transmitted and received among members of a system or network.

Group Cohesiveness

The degree to which members of a group are attracted to each other and motivated to stay in the group, affecting the group's performance and stability.

Liking Relationships

Interpersonal connections characterized by positive feelings toward each other and enjoyment of each other's company.