If the economy is at macroeconomic equilibrium, then real GDP
A) must equal potential GDP.
B) must be less than potential GDP.
C) must be great than potential GDP.
D) might be equal to, greater than, or less than potential GDP.
E) cannot be compared to potential GDP.
D
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Because air cargo as an industry involves the generation of pollutants in engine exhaust, the equilibrium price of air cargo services
A) is above the optimal level, and quantity is below the optimal level. B) is below the optimal level, and quantity is above the optimal level. C) and quantity of trucking services are both above the optimal level. D) and quantity of trucking services are both below the optimal level. E) must fall in order for the market to reach equilibrium.
Technology is best defined as
A) society's stock of applied knowledge concerning the production of goods and services. B) the maximum output that can be obtained from a stock of physical capital. C) output inside the production possibilities curve. D) movement along the production possibilities curve.