The natural rate of unemployment is:
a. equal to the seasonal unemployment

b. usually equal to 3 percent.
c. the unemployment rate when none of the work force is unemployed for more than six weeks.
d. the unemployment rate at which the economy is producing its potential GDP.
e. defined by the government.


d

Economics

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All else held constant, increased U.S. exports to nations in the European Union create a ________.

A. demand for euros B. shortage of euros C. supply of euros D. surplus of euros

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This Application illustrates how a change in weather conditions can adversely impact the ________ by ________ the price of a good

A) demand; decreasing B) supply; decreasing C) demand; increasing D) supply; increasing

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Consider the production possibilities frontier displayed in the figure shown. The fact that the line slopes downward displays which economic concept?


A. Production possibilities
B. Trade-offs
C. Specialization
D. Efficiency

Economics

Which is true with respect to the demand data confronting a monopolist?

A. Demand is perfectly price inelastic. B. Price increases as the output of the firm increases. C. Marginal revenue is less than price. D. Marginal revenue increases as price decreases.

Economics