output gap
[/ˈaʊtpʊt ɡæp/]
nounpl: output gaps
hiato do produto
1. The difference between the actual level of economic output (GDP) and the potential output that an economy could produce at full capacity with full employment
The central bank raised interest rates to close the output gap and prevent inflation.
O banco central elevou as taxas de juros para fechar o hiato do produto e evitar a inflação.
2. A macroeconomic indicator showing whether an economy is operating below, at, or above its potential capacity
A negative output gap indicates that the economy is producing less than its potential, suggesting unemployment and unused resources.
Um hiato do produto negativo indica que a economia está produzindo menos do que seu potencial, sugerindo desemprego e recursos não utilizados.
3. The measurement used by policymakers to determine whether an economy needs stimulus or contraction
Economists estimate the output gap to be approximately 2% of GDP this quarter.
Economistas estimam que o hiato do produto seja aproximadamente 2% do PIB neste trimestre.
The concept of output gap is central to modern macroeconomic policy in both the USA and Brazil. The Federal Reserve and Banco Central do Brasil use output gap estimates to guide monetary policy decisions. In Brazil, discussions of the output gap are particularly important during economic planning and inflation-control discussions, especially in relation to the country's inflation-targeting regime. The term reflects Western economic theory and is used consistently across academic, governmental, and financial sectors in both countries.
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