In Macroland,potential GDP Equals $8 Trillion and Actual GDP Equals

question 88

Multiple Choice

In Macroland,potential GDP equals $8 trillion and actual GDP equals $8.8 trillion.Macroland has a(n) _________ gap equal to ________% of potential GDP.

• A) expansionary;10
• B) expansionary;9
• C) expansionary;0.8
• D) recessionary;10
• E) recessionary;9

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Definitions:

Positive Correlation

A relationship between two variables in which both variables move in the same direction, indicating that as one variable increases, the other also increases, and vice versa.

Motivation

The process that initiates, guides, and maintains goal-oriented behaviors; it is what causes individuals to act or behave in a certain way to fulfill their needs or desires.

Test Scores

Quantitative measures obtained from educational or psychological tests that reflect the test-taker's performance.

Dependent Variable

In scientific research, the variable that is being tested and measured, which is expected to change under the influence of the independent variable.