If an economy with a natural rate of unemployment of 6 percent were beset by a 7.33 percent unemployment rate and a potential GDP climbing at the rate of 3 percent per year, how fast would GDP have to grow over the course of the next year to achieve full employment at the natural rate in accordance with Okun's law?
A) 3 percent
B) 4 percent
C) 5 percent
D) 6 percent
E) 7 percent
Correct Answer:
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