The deviations from the natural rate of unemployment in the actual rate of unemployment are:
A) seasonal.
B) frictional.
C) cyclical.
D) structural.

Question

Quizplus · Accepted Answer

The deviations from the natural rate of unemployment in the actual rate of unemployment are cyclical, meaning they are tied to the business cycle and economic fluctuations. Seasonal and frictional unemployment are not considered deviations from the natural rate, as they are considered to be normal and even necessary in a healthy labor market. Structural unemployment is another type of deviation, but it is related to changes in the structure of the economy and not necessarily tied to the business cycle.

The Deviations from the Natural Rate of Unemployment in the Actual