In the macroeconomic long run
A) real GDP is always below potential GDP.
B) there is full employment with no unemployment.
C) output always is above potential GDP.
D) there is full employment and real GDP is equal to potential GDP.
D
You might also like to view...
Suppose the figure below shows the demand curve, marginal revenue curve and marginal cost curve for a monopolist. 
At this monopolist's profit-maximizing level of output, its total revenue equals the area:
A. 0FLE. B. ELJB. C. 0HNC. D. 0FJB.
The rule of rational choice suggests that you will engage in more of an activity if: a. the total benefit from that activity exceeds the total cost of the activity
b. the total cost from that activity exceeds the total benefit of the activity. c. the additional cost incurred as a result of the activity exceeds the additional benefit received. d. the additional benefit received as a result of the activity exceeds the additional cost incurred.
Conglomerate integration:
A. improves cash flow by exploiting the cyclical nature of different product lines. B. exploits economies of scope by merging the production of similar products. C. reduces the transaction costs of acquiring inputs. D. All of the statements are correct.
Flexible exchange rates ________ of monetary policy to stabilize the economy and fixed exchange rates ________ of monetary policy to stabilize the economy.
A. strengthen the impact; strengthen the impact B. offset the impact; reinforce the impact C. strengthen the ability; prevent the use D. prevent the use; strengthen the ability