If Potential Output Equals $5 Billion and Actual Output Equals

question 61

Multiple Choice

If potential output equals $5 billion and actual output equals $6.5 billion,then this economy has a(n)

• A) budget deficit.
• B) trade deficit.
• C) expansionary gap.
• D) recessionary gap.
• E) value-added gap.

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Definitions:

Normal Intelligence

A psychological classification for cognitive ability that falls within the average range of standardized intelligence tests.

Gardner's Multiple Intelligences

A theory that proposes intelligence can be divided into multiple specific ('intelligence') areas, including linguistic, logical-mathematical, spatial, and others.

Spatial

Relating to, occupying, or having the character of space, particularly in how objects are located and organized within it.

Three-Dimensionally

Pertaining to or involving the three dimensions of length, width, and depth to represent or perceive forms with a sense of solidness and spatial awareness.