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What are the causes of recessionary gap?

Answer

A slow down in business, caused by too little money in the system.
Q&A Related to "What are the causes of recessionary gap?"
A term routed in macroeconomic theory that summarizes the situation where
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Economists calculate the output gap as a percentage by subtracting the potential GDP from the actual GDP and dividing the result by the potential GDP. The formula is written as follows
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SELF CORRECTION, AGGREGATE MARKET: The automatic process in which the aggregate market adjusts from short-run equilibrium to long-run equilibrium. Self-correction results through
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