One of the mysteries of the English language finally explained.
The amount by which the actual output of an economy falls short of its potential output.
- ‘The liquidity trap is defined as the combination of a large output gap calling for monetary stimulus, with zero interest rate blocking monetary stimulus.’
- ‘Because of excess capacity and elevated unemployment - what economists call the output gap - plenty of slack still remains in the economy.’
- ‘Moreover, we don't know what the output gap is because there is strong belief that potential growth may be in transition, based on improving productivity trends.’
- ‘Under the proposed fiscal policy rule, tax rates or rebates would adjust automatically according to the output gap and the inflation gap.’
- ‘By 1997, with the U.S. economy nearing full capacity and Canada still experiencing a significant output gap, monetary policy in Canada became far looser than in the United States.’
Top tips for CV writingRead more
In this article we explore how to impress employers with a spot-on CV.