Potential Output Is

question 11

Multiple Choice

Potential output is:

• A) the same as actual output.
• B) the same as the output gap.
• C) the same as the natural rate of unemployment.
• D) the maximum sustainable amount of output.

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Definitions:

FICA

The Federal Insurance Contributions Act, a United States federal payroll tax imposed on both employees and employers to fund Social Security and Medicare.

Acronym

An abbreviation formed from the initial letters of other words and pronounced as a word (e.g., NASA).

Grieving Child

Refers to a child who is experiencing the emotional process of dealing with loss, typically of a loved one, which can impact their emotional and psychological welfare.

Bereaved Parent

A parent who has experienced the death of a child, leading to extensive emotional and psychological grief.