A recession occurs when ________, when ________, or when both of these occur.
A. potential output grows rapidly; actual output equals potential output
B. potential output grows rapidly; actual output falls below potential output
C. potential output grows slowly; actual output rises above potential output
D. potential output grows slowly; actual output falls below potential output
Answer: D
You might also like to view...
Analysts that favor a fast transition to market economies argue that China's success with a gradual transition is a special case because
A) its trade flows were relatively large. B) so much of its labor force was in agriculture. C) heavy industry already had a strong foothold when the transition began. D) its coastal areas were already relatively well developed. E) its labor force was relatively well educated.
An important feature of money market mutual fund shares is
A) deposit insurance. B) the ability to write checks against shareholdings. C) the ability to borrow against shareholdings. D) claims on shares of corporate stock.