If GDP Is Too High Relative to Potential GDP,which of the Following

question 46

Multiple Choice

If GDP is too high relative to potential GDP,which of the following happens?

• A) Inflation rises.
• B) A recession begins.
• C) Deflation occurs.
• D) Unemployment rises.

---

Definitions:

Big Ten Football Coach

A head coach in American college football within the Big Ten Conference, one of the oldest Division I collegiate athletic conferences in the United States.

Gain Yards

In American football, the action or process of advancing the football towards the opponent's end zone, typically measured in yards.

Pure Strategy Equilibria

A situation in a game where players choose a single strategy and their choices result in an equilibrium.

Mixed Strategy

A decision-making strategy in game theory where a player chooses between possible moves according to a set of probabilities.