The Business Cycle Flashcards by Dominic ADJEI-VAN-DYKE | Brainscape

Q

What is a recession?

A

When there are two or more consecutive quarters of negative growth

How well did you know this?

1

Not at all

2

3

4

5

Perfectly

Q

What is a positive output gap

A

When actual gdp is above potential trend gdp

How well did you know this?

1

Not at all

2

3

4

5

Perfectly

Q

What is negative output gap

A

When actual gdp is below potential trend gdp

How well did you know this?

1

Not at all

2

3

4

5

Perfectly