What Does the GDP Gap Measure

question 39

Multiple Choice

What does the GDP gap measure?

• A)The difference between GNP and GDP.
• B)The difference between potential GDP and actual GDP.
• C)The difference between nominal GDP and real GDP.
• D)The difference between this year's GDP and last year's GDP.
• E)The difference between this year's potential GDP and last year's potential GDP.

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Definitions:

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