A Large Negative GDP Gap Implies

question 292

Multiple Choice

A large negative GDP gap implies

• A) an excess of imports over exports.
• B) a low rate of unemployment.
• C) a high rate of unemployment.
• D) a sharply rising price level.

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Definitions:

Commission

A fee or percentage of a transaction value paid to an agent or company for facilitating a service, such as a sale or real estate transaction.

Negotiable

Capable of being discussed and modified in a transaction or agreement.

Bearer Instrument

A financial document not assigned to a specific holder, thus whoever holds the document has the right to cash or transfer it.

Order Instrument

A financial instrument that is payable to a specific person or their order, thus requiring endorsement for transfer.