If an economy's equilibrium output is $700 and potential gross domestic product is $1,000 . then a recessionary gap of $100 exists in the economy
a. True
b. False
Indicate whether the statement is true or false
False
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In periods when GDP grows very rapidly for a long period, the actual unemployment rate will be ________ than the natural rate of unemployment
A) higher B) the same C) more variable D) lower
If the market for a product is narrowly defined, then there are likely to be many substitutes for the product and the demand for the product is relatively elastic
Indicate whether the statement is true or false
Monetarists argue that stability in the economy is maintained by fluctuations in
A) velocity. B) money demand. C) money supply. D) the price level.
In 2012, the number of people living in the world on less than $1.90 a day was:
A. roughly 13% of the world's population. B. just over a quarter of the world's population. C. just over a fifth of the world's population. D. just under 10 percent of the world's population.