Suppose the Economy's Short-Run Equilibrium Point Is to the Right

question 76

Multiple Choice

Suppose the economy's short-run equilibrium point is to the right of the Natural Real GDP.Which of the following is true?

• A) The economy is in an inflationary gap.
• B) The economy is in a recessionary gap.
• C) The economy is in long-run equilibrium.
• D) This situation is actually impossible.

---

Definitions:

Witchcraft

Describes the practice of magical skills, spells, and abilities, historically subject to persecution and trials, especially in Early Modern Europe and colonial America.

New Englanders

Residents of the New England region of the United States, known for their unique cultural, historical, and social attributes.

Indians

generally refers to the people of India, a country in South Asia with a diverse culture, or can also denote the indigenous peoples of the Americas, often used historically.

Savagery

A term historically used to describe a state of living perceived as primitive, uncivilized, or brutally violent; often employed in a derogatory and ethnocentric manner.