The economy is considered to be at its potential output when the only unemployment is structural or frictional.
Answer the following statement true (T) or false (F)
True
You might also like to view...
As a percentage of GDP, all of the following federal government expenditures are expected to increase from 2012 to 2042 except
A) Social Security. B) Medicare and Medicaid. C) the net interest on the federal debt. D) national defense.
Cannibalization is:
a. Reducing the sales of own firm b. Improving quality over a rival's product c. Reducing costs d. Increasing one's output to reduce sales of another firm
When output is less than the economy's long-run capacity, which of the following is most likely to occur?
a. an abnormally low rate of unemployment b. reductions in real interest rates and real resource prices c. a sharp increase in imports d. a government budget surplus
Explain the forces that can cause an exchange rate to change.
What will be an ideal response?