6) In the second quarter of 2020, real GDP was $17.282 trillion, while potential GDP was $19.204 trillion. The calculation for the output gap for that quarter is 6) A) $1.922 trillion. B) -10%. C) -$1.922 trillion. 7) Inflation increases when A) expected inflation is higher. B) negative inflation shocks hit the economy. C) the output gap is lower. D) the potential output is higher. D) 10%. A) potential output; inflation C) business cycle; output gap 8) Aggregate output (real GDP) can be divided into two components: the long-run trend, which is referred to as and fluctuations around this trend, which is referred to as .8) 7) B) potential output; business cycle D) business cycle; potential output