Deregulation Has Occurred in the Following Industries

question 18

Multiple Choice

Deregulation has occurred in the following industries:

• A) Commercial airlines, sheet metal, and interstate trucking.
• B) Commercial airlines, railroads, and financial institutions.
• C) Commercial airlines, interstate trucking, and silicon chip manufacturing.
• D) Financial institutions, railroads, and silicon chip manufacturing.

---

Definitions:

Recessionary Gap

A situation where the real GDP is lower than the potential GDP at full employment, indicating underutilized resources.

Inflationary Gap

A scenario where aggregate demand exceeds aggregate supply at the level of full employment, leading to an increase in general price levels.

Equilibrium GDP

The level of Gross Domestic Product where aggregate supply equals aggregate demand, indicating an economy in balance without tendency to change.

Full Employment GDP

The total market value of all goods and services produced domestically by a country when all available resources are fully utilized.