When actual unemployment is less than its natural rate:
A) the economy is expanding beyond its long-run capabilities.
B) the economy is producing within its long-run capabilities.
C) the numbers must be wrong because the actual unemployment rate can never be less than the natural rate.
D) the economy is in a recession.
E) the economy must be experiencing high inflation.
Correct Answer:
Verified
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A)
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A) rises.
B) will
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A) the average of frictional,
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A) only frictional and
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