An Expansionary Gap Is Equal to

question 103

Multiple Choice

An expansionary gap is equal to

• A)real GDP minus nominal GDP
• B)nominal GDP minus real GDP
• C)actual short-run output minus potential output
• D)this period's nominal GDP minus last period's nominal GDP
• E)this period's real GDP minus last period's real GDP

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Definitions:

Brain Activation

The process by which specific regions of the brain increase in activity, often in response to stimuli or during the performance of tasks.

Arousal

A physiological and psychological state of being awake or reactive to stimuli, often involving heightened physical and mental alertness.

Visual Cliff

An experimental apparatus designed to give the illusion of a dangerous drop-off, used to study depth perception and fear of heights in infants.

Ambiguous

Open to more than one interpretation or having a double meaning.