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Lelechka [254]
2 years ago
12

Which of the following is a period during which aggregate output, as measured by real GDP, declines

Business
1 answer:
Klio2033 [76]2 years ago
4 0

Answer:

D. Recession

Explanation:

Aggregate output in an economy declines during a recession. This is because economic activities are declining. When such occurs GDP declines. This is different from stagflation in the sense that during a recession, only real GDP declines. However, in a stagflation, the fall in GDP also results to the increase in inflation. During recessions, economic activities are low so is price level.

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