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What is an output gap?

What is an output gap?

An output gap is the difference between an economy's actual output and its potential output. Potential output, also called trend output, is the sustainable level of real output when resources are normally employed.

9.2.2 positive and negative output gaps Lesson

  1. Intl A Level
  2. /Economics
  3. /9.2.2 positive and negative output gaps

Step-by-step lessons on CIE Intl A Level Economics 9.2.2 positive and negative output gaps. Each one builds up to exam-style questions.

Lessons