Which of the following statements about the behavior of the unemployment rate in the United States is true?
A) Between 1960 and 2004, the unemployment rate has fluctuated between 3.4% and 6%.
B) The unemployment rate in the most recent recession involved a peak rate of unemployment lower than the peak rate of the recession before it.
C) Generally, when the natural level of output is above the actual level of output, the actual level of unemployment tends to be below the natural level of unemployment.
D) Generally, when the actual level of output is above the natural level of output, the actual level of unemployment tends to be above the natural level of unemployment.
Correct Answer:
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