Use the following to answer questions :
Figure: Actual and Natural Rates of Unemployment
-(Figure: Actual and Natural Rates of Unemployment) Look at the figure Actual and Natural Rates of Unemployment. In 2000 the output gap was:

Question

Use the following to answer questions :
Figure: Actual and Natural Rates of Unemployment 
-(Figure: Actual and Natural Rates of Unemployment) Look at the figure Actual and Natural Rates of Unemployment. In 2000 the output gap was:

Quizplus · Accepted Answer

In 2000, if the actual unemployment rate was below the natural rate, it indicates a positive output gap, meaning the economy was producing above its potential.

Use the Following to Answer Questions