Using Figure 3 below, suppose that the economy was at Y1. This level of GDP would be considered:
A. inflationary.
B. recessionary.
C. a long run level of output.
D. a natural rate of output.
B. recessionary.
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Refer to Table 2-1. Assume Tomaso's Trattoria only produces pizzas and calzones. A combination of 24 pizzas and 30 calzones would appear
A) along Tomaso's production possibilities frontier. B) inside Tomaso's production possibilities frontier. C) outside Tomaso's production possibilities frontier. D) at the horizontal intercept of Tomaso's production possibilities frontier.
Which term refers to members of Congress bundling unrelated laws together to benefit projects in their own districts?
a. Budget trading b. Vote cycling c. Logrolling d. Pork-barrel spending
A government budget deficit
a. increases both net capital outflow and net exports. b. decreases both net capital outflow and net exports. c. increases net capital outflow and decreases net exports. d. decreases net capital outflow and increases net exports.
If the value of net exports is positive, then
A. exports equal imports. B. exports exceed imports. C. imports exceed exports. D. imports are zero.