At a Long-Run Macroeconomic Equilibrium,real GDP Is Always Equal to Potential

question 151

True/False

At a long-run macroeconomic equilibrium,real GDP is always equal to potential GDP.

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Definitions:

Consumer Surplus

Consumer Surplus is the difference between what consumers are willing to pay for a good or service and what they actually pay, representing the benefit consumers receive from a transaction.

Producer Surplus

The difference between what producers are willing to sell a product for and the actual price they receive, representing their benefit or surplus.

Minimum Acceptable Price

The lowest price at which a seller is willing to sell a product or service.

Consumer Surplus

The gap between what consumers are ready and able to shell out for a good or service and what they indeed spend on it.