Statement I: When Equilibrium GDP and Full Employment GDP Are

question 288

Multiple Choice

Statement I: When equilibrium GDP and full employment GDP are equal,there is no inflationary gap and no deflationary gap.
Statement II: Equilibrium GDP is an ideal goal that can never be attained.

• A)Statement I is true and statement II is false.
• B)Statement II is true and statement I is false.
• C)Both statements are true.
• D)Both statements are false.

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Definitions:

Kaizen Approach

A philosophy or practice focusing on continuous improvement in all aspects of life, particularly in business.

Operational Decisions

Decisions made in the day-to-day functioning of a company that are routine and aim to improve effectiveness and efficiency.

Radical Shifts

Significant changes that drastically alter the existing order, perceptions, or conditions in a given context, often leading to a new paradigm.

Organizational Development

A planned, systemic approach to improving the effectiveness of an organization through changes in its processes, culture, and structure.