950EconomicsMedium
Potential GDP is the level of aggregate output?
Athat can be produced if structural unemployment is zero
Bthat can be sustained in the long run, if the inflation rate is zero
Cthat can be sustained in the long run without inflation
Dthat can be produced at a zero-unemployment rate
Correct answer
C. that can be sustained in the long run without inflation
Explanation
The correct answer is that can be sustained in the long run without inflation.