The sum of frictional and structural unemployment is thought of as the
A) natural rate of unemployment.
B) normal rate of unemployment.
C) cyclical rate of unemployment.
D) seasonal rate of unemployment.

Question

Quizplus · Accepted Answer

The sum of frictional and structural unemployment is considered the natural rate of unemployment, which is the level of unemployment that exists when the economy is operating at full potential, with no cyclical unemployment. It is also sometimes referred to as the normal rate of unemployment.

The Sum of Frictional and Structural Unemployment Is Thought of as the