Potential GDP is defined as
A) the maximum of GDP that the economy can produce.
B) the amount of GDP produced if there is no frictional unemployment.
C) the level of GDP attained when all firms are producing at capacity.
D) the amount of GDP produced if there is no structural unemployment.
Answer: C
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The financial statement that shows how revenue is converted into the bottom line is called
A) the sources and uses of funds statement. B) the Sarbanes report. C) the income statement. D) the balance sheet.
The amount of money paid to workers as wages is an example of fixed costs
a. True b. False Indicate whether the statement is true or false
If the interest rate were 10 percent, how much would people be willing to pay for a stock that was certain to yield a $2 per share stream of net earnings continuously in the future?
a. $2 b. $10 c. $20 d. $100
The difference between the value of a product at the end of one stage of production and the cost of materials purchased from other firms at the beginning of this stage is the
A. value added. B. net input cost. C. production profit. D. gross input cost.