When the unemployment rate is below the natural rate,
A) wages and prices will begin to rise and employment will fall
B) real wages will fall and employment will increase
C) prices will fall, and unemployment will rise
D) the natural rate will increase to restore equilibrium
E) the unemployment rate will rise, but neither prices not wages will change
Correct Answer:
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Q1: The labor force participation rate is defined
Q3: The rate of unemployment will be higher
Q4: The most accurate measurement of unemployment
A) is
Q5: The replacement ratio is defined as
A) The
Q6: If firms seek an average markup of
Q7: Which of the following would not give
Q8: The marginal product of labour is defined
Q9: Which of the following is the least
Q10: If a firm's marginal product of labor
Q11: Increases in labor productivity from improved technology
A)
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