Each of the following is a factor influencing the natural rate of unemployment except
A) expectations of the future natural rate of unemployment.
B) the relative age and educational distribution of the labor force.
C) the rate of productivity growth.
D) the type of institutions that characterize the labor market.

Question

Quizplus · Accepted Answer

Expectations of the future natural rate of unemployment do not directly influence the current natural rate of unemployment. Factors like the age and educational distribution of the labor force, productivity growth, and labor market institutions directly impact the natural rate of unemployment by affecting labor supply and demand, job matching efficiency, and the adaptability of the workforce.

Each of the Following Is a Factor Influencing the Natural