Economics (AS & A Level) · May / June 2026 · Paper 32 · Question 18
9708Economic growth and sustainability
An economy experiences an increase in employment, unemployment and real GDP. What is most likely to explain this outcome?
- AThe deflationary gap has narrowed.
- BThe economy is experiencing actual as well as potential growth.
- CThe economy is operating further away from its potential output.
- DThere has been a net outward migration of the adult population.
As printed in the paper
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Correct answer: B. The economy is experiencing actual as well as potential growth.
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