The Amount of Output That Would Be Produced by an Economy

question 52

Multiple Choice

The amount of output that would be produced by an economy if resources were being utilized at a high rate that is sustainable in the long run is referred to as the

• A)potential output.
• B)natural output.
• C)Walrasian output.
• D)partial-equilibrium output.

---

Definitions:

Globalization

The process by which businesses or other organizations develop international influence or start operating on an international scale, affecting economies, cultures, and politics.

Financialization

The growing significance of financial sectors, financial motivations, financial organizations, and financial leaders in managing the economy and its regulatory bodies.

Economic Integration

The process by which countries reduce trade barriers and coordinate their economic policies to increase trade and investment between them.

European Union

A political and economic union of 27 member states located primarily in Europe, established to promote integration and cooperation among its members.