Recessionary gap occurs because the nations gross domestic product is lower than it is at full employment. This often occurs when an economy is beginning a recession.
credit gap
An ethical gap is an actual gap in a company where ethics are concerned. They may say and act one way but ultimately they do another, thus causing a gap of ethics to form.
Gap Card allows you to collect points every time you shop at Gap or their online store which you can then redeem for savings on your next Gap purchase.
i am assuming the following: your vehicle totaled, you do not have GAP insurance and the value of your vehicle was less than your payoff...unfortunately you will still owe this balance, most lien holders will do what they call a 'transfer of collateral'' meaning they will finance (assuming you are in good standing) if you want. your replacement vehicle and put this balance on top of that note....immediately making you really upside down AGAIN ...pleeeeeeeeeeeeeease get gap insurance on this one, talk to your lien holder about it...gap insurance pays the 'gap' between the value of the vehicle and the note balance..
Its the gap between the actual and potential GNP
A recessionary gap is where an economy is operating below its full employment equilibrium.
Recessionary.
500 billion
Cyclical !
This is known as the recessionary gap
A recessionary gap. Equilibrium GDP is $600 billion, while full employment GDP is $700 billion. Employment will be 20 million less than at full employment. Aggregate expenditures would have to increase by $20 billion (= $700 billion -$680 billion) at each level of GDP to eliminate the recessionary gap. The MPC is .8, so the multiplier is 5.
The aggregate demand must be increased so that producers can sell more goods.
a Keynesian would argue that the essence to solve recession lies with demand management. When an economy is experiencing a boom (inflationary gap), government should tax people, reduce spending ...etc... to soak up the demand. When an economy is experiencing a bust (recessionary gap), government should decrease tax and increase government spending (using money they gained during the boom) to increase the demand of an economy.
The adjective of recession is recessionary.
A GDP gap is the difference between actual GDP and potential GDP. The calculation of the GDP gap is actual output minus potential output. If this calculation yields a positive number it is called an inflationary gap and indicates the increased growth of aggregate demand is outpacing the growth of aggregate supply which may possibly create inflation. If the calculation yields a negative number it is called a recessionary gap- possible signifying deflation.
Assuming that the aggregate demand curve does not move, the only way for the gap to be closed is by a shift in aggregate supply. These gaps cause a change in inflation expectations, moving the AS curve left (exp) or right (rec) back to long term equilibrium and changing the inflation rate.
An earthquake. But while this happens the magma fills the gap.