An economic boom experienced during a certain year in a country that increases actual GDP beyond potential GDP will result in:
a. unemployment
b. inflation.
c. deflation.
d. increased fiscal spending.
b
You might also like to view...
Refer to the figure below. In response to gradually falling inflation, this economy will eventually move from its short-run equilibrium to its long-run equilibrium. Graphically, this would be seen as 
A. long-run aggregate supply shifting leftward B. Short-run aggregate supply shifting upward C. Short-run aggregate supply shifting downward D. Aggregate demand shifting leftward
Acid rain is an example of
a. local pollution c. regional pollution b. global pollution d. natural pollution
According to the graph above, the last expansion to occur before the outbreak of World War I in 1914 had a duration of ________
A) 23 months B) 44 months C) 3 years D) 12 months E) 20 months
Identify the scenario that will cause the supply curve to shift to the left
a. Producer expects now that the price will be lower later b. Price decreases for a substitute in production c. Input price increases d. Increase in number of suppliers