In a recessionary gap, frictional unemployment can temporarily fall below normal full employment levels.

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During a recessionary gap, the economy is producing less than its potential, leading to higher overall unemployment, including frictional unemployment. Frictional unemployment typically does not fall below normal levels in such scenarios because it reflects short-term job transitions rather than overall economic health.

In a Recessionary Gap, Frictional Unemployment Can Temporarily Fall Below