Which of the Following Is True When an Economy Produces

question 99

Multiple Choice

Which of the following is true when an economy produces at full employment,but consumers,government,businesses,and the foreign sector do not buy all the output?

• A)Inventories are depleted.
• B)There is a recessionary gap.
• C)Unemployment falls.
• D)The price level rises.

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Definitions:

Productivity

The efficiency at which goods and services are produced, often measured by output per unit of input over a specific period.

Destabilizing Forces

Factors or elements that threaten the stability or balance of systems, organizations, or societal conditions.

Food Desert

Areas with limited access to affordable and nutritious food, particularly impacting low-income neighborhoods and communities.

Obesity

A medical condition characterized by excess body fat that presents a risk to health.