To say that the natural rate of unemployment changes over time is to say that

Question

Quizplus · Accepted Answer

The natural rate of unemployment is determined by structural factors such as demographics, technology, and institutions. These factors can change over time, leading to a shift in the long-run Phillips curve and a change in the natural rate of unemployment. The short-run Phillips curve shows the relationship between unemployment and inflation in the short run, but it is not directly related to the natural rate of unemployment. Changes in the aggregate demand curve or actions by the Federal Reserve can affect the short-run Phillips curve, but they do not directly affect the natural rate of unemployment.

To Say That the Natural Rate of Unemployment Changes Over