If the natural unemployment rate is 5 per cent and the actual unemployment rate is 3 per cent,then Okun's Law concludes that real GDP is
A) 4 per cent less than potential GDP.
B) 2 per cent greater than potential GDP.
C) 2 per cent less than potential GDP.
D) 4 per cent greater than potential GDP.
E) 3 per cent greater than potential GDP.
Correct Answer:
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