If the Economy Is at Macroeconomic Equilibrium,then Real GDP

question 143

Multiple Choice

If the economy is at macroeconomic equilibrium,then real GDP

• A)must equal potential GDP.
• B)must be less than potential GDP.
• C)must be great than potential GDP.
• D)might be equal to,greater than,or less than potential GDP.
• E)cannot be compared to potential GDP.

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Definitions:

Mental Ability

The capacity to learn, reason, understand, and similar forms of mental activity; aptitude in grasping truths, relationships, facts, meanings, etc.

Cognitive Ability

The capacity of an individual to perform mental processes related to learning and problem solving, including memory, reasoning, understanding, and decision making.

Human Capital

The collective skills, knowledge, or other intangible assets of individuals that can be used to create economic value for the individuals, their employers, or their community.

Intellectual Capital

The collective knowledge, information, intellectual property, and experience that an organization possesses.