The natural rate of unemployment
A) can vary over time and will differ across countries.
B) can vary over time but tends to be the same across countries.
C) tends to remain constant over time but at different levels for different countries.
D) tends to remain constant over time and is the same across countries.

Question

Quizplus · Accepted Answer

The natural rate of unemployment can vary over time and will differ across countries. This is because it is influenced by various factors such as demographics, labor market policies, and technological changes that differ across countries and change over time. Therefore, it is not constant across countries or over time.

The Natural Rate of Unemployment