When the Unemployment Rate Is Less Than the Natural Unemployment

question 290

Multiple Choice

When the unemployment rate is less than the natural unemployment rate,

• A) the output gap is negative.
• B) the output gap is positive.
• C) the output gap equals zero.
• D) None of the above is possible because it is impossible for the unemployment rate to be less than the natural rate.

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Definitions:

Autism Spectrum Disorder

A developmental disorder characterized by difficulties in social interaction, communication, and restricted or repetitive patterns of thought and behavior.

Distinguishing Characteristics

Unique features or qualities that set someone or something apart from others.

Emotional Abuse

A form of abuse characterized by the use of words, actions, or indifference intended to control, intimidate, subjugate, demean, punish, or isolate another person.