Potential GDP is the output of the economy along a smooth path of growth, without strains on production or unused resources.
Answer the following statement true (T) or false (F)
True
Potential GDP is the output of an economy, assuming no strains on production or unused resources.
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A) unbounded selfishness B) unbounded rationality C) unbounded will power D) unbounded resources
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Spending on imports should get _________ GDP, and spending on exports should be __________.
A. subtracted from; included B. included in; included as well C. subtracted from; subtracted as well D. included in; subtracted