- CFA Exams
- CFA Level I Exam
- Topic 2. Economics
- Learning Module 10. Aggregate Output, Prices, and Economic Growth
- Subject 6. Equilibrium GDP and Prices
CFA Practice Question
Refer to the graph below. The potential output curve is best shown by ______.
B. Curve B
C. Curve C
D. Curve D
A. Curve A
B. Curve B
C. Curve C
D. Curve D
Correct Answer: A
The potential output curve is vertical because potential output is unaffected by price level.
User Contributed Comments 4
| User | Comment |
|---|---|
| dipu617 | Is it the supply curve? |
| thekobe | is the LRAD |
| schweitzdm | It seems to be the LAS. |
| kay136 | Agree it's LAS. LRAD is curve C. |