Exhibit 23-1 real GDP real GDP h A B CDEFGHI Time Potential GDP According to Exhibit 23-1, which of the following is true? a. Potential GDP fell between year B and year D. Ob. In normal times, real GDP is above potential GDP. c. Unemployment rose between year D and year F. d. All recessions are of the same duration. e. Aggregate demand fell between year B and year D.

Exhibit 23-1 real GDP real GDP h A B CDEFGHI Time Potential GDP According to Exhibit 23-1, which of the following is true? a. Potential GDP fell between year B and year D. Ob. In normal times, real GDP is above potential GDP. c. Unemployment rose between year D and year F. d. All recessions are of the same duration. e. Aggregate demand fell between year B and year D.

Principles of Economics 2e

2nd Edition

ISBN:9781947172364

Author:Steven A. Greenlaw; David Shapiro

Publisher:Steven A. Greenlaw; David Shapiro

Chapter19: The Macroeconomic Perspective

Section: Chapter Questions

Problem 4SCQ: Without looking at Table 19.7, return to Figure 19.10. If we define a recession as a significant...

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Question

Exhibit 23-1
real GDP
A B
B
real GDP
f
CDEFGHI
Time
Potential
GDP
According to Exhibit 23-1, which of the following is true?
a. Potential GDP fell between year B and year D.
Ob. In normal times, real GDP is above potential GDP.
c. Unemployment rose between year D and year F.
d. All recessions are of the same duration.
e. Aggregate demand fell between year B and year D.

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