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Economics (AS & A Level) · Oct / Nov 2022 · Paper 31 · Question 24

9708Economic growth and sustainability

What will decrease if an open economy experiences a positive output gap?

  1. Ageneral price level
  2. Bimport spending
  3. Cspare capacity
  4. Dwage rates

As printed in the paper

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Correct answer: C. spare capacity

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