This topic contains a solution. Click here to go to the answer
« previous next »

Author Question: Explain the relationship between real GDP and potential GDP during the two phases of the business ... (Read 59 times)

yoroshambo

  • Hero Member
  • *****
  • Posts: 566
on: Jun 29, 2018
Explain the relationship between real GDP and potential GDP during the two phases of the business cycle.
 
  What will be an ideal response?

Question 2

The implicit rental rate for capital is
 
  A) an accounting cost.
  B) part of the firm's normal profit.
  C) an opportunity cost.
  D) a cost that is irrelevant to the business.


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

Carliemb17

  • Sr. Member
  • ****
  • Posts: 325
Reply #1 on: Jun 29, 2018
Answer to Question 1

During an expansion the level of real GDP eventually surpasses potential GDP, reaches a peak and subsequently falls below potential GDP during a recession eventually reaching a trough.

Answer to Question 2

C


yoroshambo

  • Member
  • Posts: 566
Reply 2 on: Jun 29, 2018
:D TYSM

JCABRERA33

  • Member
  • Posts: 344
Reply 3 on: Yesterday
YES! Correct, THANKS for helping me on my review

« previous next »
 

Did you know?

Computer programs are available that crosscheck a new drug's possible trade name with all other trade names currently available. These programs detect dangerous similarities between names and alert the manufacturer of the drug.

Did you know?

The oldest recorded age was 122. Madame Jeanne Calment was born in France in 1875 and died in 1997. She was a vegetarian and loved olive oil, port wine, and chocolate.

Did you know?

Pope Sylvester II tried to introduce Arabic numbers into Europe between the years 999 and 1003, but their use did not catch on for a few more centuries, and Roman numerals continued to be the primary number system.

Did you know?

If you could remove all of your skin, it would weigh up to 5 pounds.

Did you know?

People often find it difficult to accept the idea that bacteria can be beneficial and improve health. Lactic acid bacteria are good, and when eaten, these bacteria improve health and increase longevity. These bacteria included in foods such as yogurt.

The meninges. This figure illustrates the location and structure of each layer of the meninges and t The meninges. This figure illustrates the location and structure of each layer of the meninges and t
Relationship between a diagnostic label and related factor Relationship between a diagnostic label and related factor
The Power and Control Wheels of Abusive Relationships When one person in a relationship repeatedly ... The Power and Control Wheels of Abusive Relationships When one person in a relationship repeatedly ...
standard reduction potential (Eo), the greater the tendency of the oxidized form of a redox couple standard reduction potential (Eo), the greater the tendency of the oxidized form of a redox couple
Please fully explain in detail Please fully explain in detail
The relationship between maternal age and the frequency of trisomy 21 (Down syndrome). The risk incr The relationship between maternal age and the frequency of trisomy 21 (Down syndrome). The risk incr
Video: What is Cholesterols? Introduction to Lipoproteins

For a complete list of videos, visit our video library