An inflationary gap is created when:________.
i. potential GDP is greater than real GDP.
ii. the price level exceeds the equilibrium price level.
iii. real GDP equal to potential GDP.
iv. real GDP is greater than potential GDP.
v. the inflation rate is less than potential inflation.

Question

04-03-2022
Business

Answered

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An inflationary gap is created when:________.
i. potential GDP is greater than real GDP.
ii. the price level exceeds the equilibrium price level.
iii. real GDP equal to potential GDP.
iv. real GDP is greater than potential GDP.
v. the inflation rate is less than potential inflation.

Sagot :

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