If the economy is producing ________, unemployment is at its natural rate

A) at an unemployment rate of zero B) at an inflation rate of zero
C) at potential GDP D) above potential GDP


C

Economics

You might also like to view...

Suppose the production function is Y = AK0.3N0.7. Suppose in 2000, K = 1000, N = 100, and Y = 199.5. In 2010, capital, labor, and output have doubled, so K = 2000, N = 200, and Y = 399

(a) By what percentage did productivity grow from 2000 to 2010? (b) If output had risen to 798 instead of 399, and capital and labor doubled, by what percentage would productivity have grown from 2000 to 2010?

Economics

Total U.S. government expenditures as a percentage of GDP were largest during which of the following periods of time?

a. The Great Depression. b. World War II. c. The Vietnam War. d. The Energy Crisis of the mid- and late-1970s.

Economics

If inflation increases, one would expect that the Fed would:

A. reintroduce unconventional policy. B. wind down unconventional policy more slowly. C. change unconventional policy to conventional policy. D. wind down unconventional policy more quickly.

Economics

Sellers who try to maintain or increase the demand for their product in the face of competition by improving its quality

What will be an ideal response?

Economics