Which of the Following Statements Is True

question 3

Multiple Choice

Which of the following statements is true?

• A) If current Real GDP is greater than Natural Real GDP,the economy is in a recessionary gap.
• B) If current Real GDP is less than Natural Real GDP,the economy is in long-run equilibrium.
• C) Wages are flexible if the economy is self-regulating.
• D) Wages rise but prices remain constant in long-run equilibrium.
• E) All economists believe the economy is self-regulating.

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Definitions:

Semitendinosus

A muscle in the thigh, part of the hamstrings group, which functions in knee flexion and thigh extension.

Calcaneal Tendon

Also known as the Achilles tendon, it is the tendon at the back of the ankle, connecting the calf muscles to the calcaneus (heel bone) and facilitates walking, running, and jumping.

Gastrocnemius

A major muscle located in the back part of the lower leg, contributing to plantar flexion of the foot.

Tibialis Anterior

A muscle in the lower leg that dorsiflexes and inverts the foot, playing a key role in walking and running.