In the long run, the economy tends towards
a. the natural rate of unemployment
b. the structural unemployment rate
c. the frictional unemployment rate
d. the cyclical unemployment rate
Answer: a. the natural rate of unemployment
You might also like to view...
Which of the following laws ensures that men and women who perform the same work at the same firm receive the same pay?
a. Equal Pay Act of 1963 b. Civil Rights Act of 1964 c. Civil Rights Act of 1991 d. Fair Labor Standards Act of 1938
A movement along the Phillips curve shows that the unemployment rate and inflation rate are
A. Changing in response to supply-side policy. B. Changing in response to shifts in aggregate supply. C. Inversely related to each other. D. Directly related to each other.
When the price of a good falls, consumers buy more of the good because it is cheaper relative to competing goods. This statement describes the:
A. consumer equilibrium effect. B. price effect. C. income effect. D. substitution effect.
How does an expected change in car prices affect consumption?
What will be an ideal response?