When an Economy's Actual Output Differs from Its Potential at Some

question 136

Multiple Choice

When an economy's actual output differs from its potential at some point in time, we say that it is experiencing:

• A) an output gap.
• B) a recession.
• C) a boom.
• D) an inflationary gap.

---

Definitions:

Health Maintenance Organization

An organization that provides or arranges managed care for health insurance, self-funded health care benefit plans, individuals, and other entities.

Psychotherapy

A therapeutic treatment approach where psychological methods are used to help a person change behavior and overcome problems in desired ways.

Severity

The degree or intensity of a condition, situation, or event, typically referring to the harshness or seriousness of something.

Eclectic Psychotherapist

A therapist who uses techniques and theories from multiple schools of psychological thought and therapy, depending on the client's needs.