If Short-Run Equilibrium Output Equals 50,000 and Potential Output (Y*)equals

question 110

Multiple Choice

If short-run equilibrium output equals 50,000 and potential output (Y*) equals 45,000, then this economy has a(n) ________ gap that can be closed by ________.

• A)expansionary; decreasing taxes
• B)expansionary; increasing transfer payments
• C)expansionary; decreasing government purchases
• D)recessionary; increasing government purchases

Distinguish between biased and unbiased estimates in statistics.

Recognize the impact of sample size on statistical measures and estimates.

Understand the concept of absolute value in the context of deviations.

Learn the calculation and significance of range (inclusive and exclusive) in data set.

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Definitions:

Observer Effect

The phenomenon where the act of observing or measuring a system affects the system itself.

Observer Effect

The observer effect refers to changes that the act of observation can make on a phenomenon being observed.

Representative Sample

A subset of a population that accurately reflects the members of the entire population.

Volunteer Bias

The distortion of research results due to differences between those who choose to participate in studies and those who do not.