output Yt output t Short-run fluctuations: A real-world problem faced by policymakers, forecasters, and businesses every day is how to judge the state of the economy. Consider the table below, showing hypothetical measures of real GDP for each quarter (three-month period) in the coming years, starting at a level of $25.0 trillion in 2023Q1 (the first quarter of 2023). Year Actual output Yt Potential Yt-Y Short-run Growth rate of actual output %AY 202301 25.00 n/a 2023Q2 25.20 202303 25.40 202304 25.30 202401 25.20 202402 25.15 202403 25.13 202404 25.30 202501 25.50 2025Q2 26.00 202503 26.80 202504 27.10