Suppose that the unemployment rate equals 4.5 percent and that the natural unemployment rate is
5) 5 percent. We can conclude that
A) potential GDP is less than real GDP.
B) we have mismeasured the natural unemployment rate.
C) potential GDP is greater than real GDP.
D) potential GDP equals real GDP.
Correct Answer:
Verified
Q234: Suppose that the natural unemployment rate is
Q237: The natural unemployment rate is the unemployment
Q238: The natural unemployment rate
A) is the unemployment
Q239: The natural unemployment rate is
A) the unemployment
Q240: When the economy is at full employment
Q241: If the economy is at full employment,
A)
Q243: At the natural unemployment rate, there is
Q244: When real GDP is potential GDP, the
Q245: Suppose the economy is experiencing frictional unemployment
Q247: The natural unemployment rate
A) is attained whenever
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