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

question 13

Multiple Choice

If GDP is too low relative to potential GDP,which of the following is true?

• A) Inflation is higher than normal.
• B) A recession has just begun.
• C) Deflation will occur.
• D) Unemployment is higher than normal.

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Definitions:

Financial Budgets

Plans that outline an organization's expected revenues, expenditures, and financial objectives for a specific period.