U.S. potential GDP is the value of the goods and services produced in the United States ________

A. in the reference base year
B. when the U.S. unemployment rate is zero
C. when the U.S. economy is at full employment
D. when the U.S. inflation rate is zero

C Answer C is correct because it is the definition of potential GDP.

Economics

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Which of the following is TRUE of the current account balance?

A) Monetary expansion has no effect on the current account balance. B) Monetary expansion decreases the current account balance. C) Fiscal expansion increases the current account balance. D) Fiscal expansion has no effect on the current account balance. E) Monetary expansion increases the current account balance.

Economics

Suppose Barry is maximizing his utility from consuming used paperback novels and audio books. The price of a used novel = $4 and the price of an audio book = $8. If the marginal utility of the last novel was 32 units of utility (utils) what was the

marginal utility of the last audio book purchased? A) 2 utils B) 12 utils C) 16 utils D) 64 utils

Economics