If an Economy's Actual GDP Exceeds Its Potential GDP,_____

question 3

Multiple Choice

If an economy's actual GDP exceeds its potential GDP,_____.

• A)wages and prices must fall
• B)self-correcting forces will shift the SRAS curve to the left
• C)self-correcting forces will shift the AD curve to the left
• D)inflation will occur when AD shifts to the left
• E)unemployment is likely to be unusually high

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Definitions:

Moral Quality

The inherent goodness or ethical nature of actions, decisions, or character traits evaluated through a moral or ethical lens.

Virtue

The quality of showing high moral standards, such as honesty, integrity, and righteousness.

Women

Refers to adult human females, but within historical and societal contexts, it often pertains to their roles, rights, and experiences which have varied and evolved over time.

Northeast Cities

Urban areas located in the northeastern part of the United States, known for their significant historical, cultural, and economic impact.