Author Question: Explain the difference between economic growth and stability. Can a country experience both at the ... (Read 51 times)

captainjonesify

  • Hero Member
  • *****
  • Posts: 543
Explain the difference between economic growth and stability. Can a country experience both at the same time? Why or why not?
 
  What will be an ideal response?

Question 2

Potential GDP is also referred to as
 
  A) full-employment GDP. B) politico-economic GDP.
  C) realized GDP. D) balanced-budget GDP.



cswans24

  • Sr. Member
  • ****
  • Posts: 317
Answer to Question 1

Economic growth refers to an increase in the total output of the economy. Stability occurs when output is steady or growing, with low inflation and full employment of resources. Yes, a country can experience both economic growth and stability at the same time, as long as the increase in output is not accompanied by a rising price level. The late 1990s were a period of growth for the U.S. economy with low inflation.

Answer to Question 2

A



Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
 

Did you know?

Today, nearly 8 out of 10 pregnant women living with HIV (about 1.1 million), receive antiretrovirals.

Did you know?

Although not all of the following muscle groups are commonly used, intramuscular injections may be given into the abdominals, biceps, calves, deltoids, gluteals, laterals, pectorals, quadriceps, trapezoids, and triceps.

Did you know?

Certain rare plants containing cyanide include apricot pits and a type of potato called cassava. Fortunately, only chronic or massive ingestion of any of these plants can lead to serious poisoning.

Did you know?

Increased intake of vitamin D has been shown to reduce fractures up to 25% in older people.

Did you know?

More than 4.4billion prescriptions were dispensed within the United States in 2016.

For a complete list of videos, visit our video library