Economy, asked by rushiyoyo5324, 1 year ago

Explain the meaning of Deflationary Gap. State one wav of correcting it.

Answers

Answered by SanyaBhasin
0

Deflationary gap. When aggregate demand is less than the level of output at full employment, then the deficiency or gap is called deflationary gap. ... It is a measure of the amount of deficiency in aggregate demand. Briefly, deflationary gap is synonym of deficient demand.

Answered by Anonymous
0

Answer:

Deflationary gap is the shortfall in AD from the level required to maintain full employment in the economy

Explanation:

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