If the Actual Unemployment Rate Is One Percentage Point Less

question 21

Multiple Choice

If the actual unemployment rate is one percentage point less than the NAIRU,then

• A)actual and potential GDP are equal.
• B)actual GDP is greater than potential GDP.
• C)actual GDP is less than potential GDP.
• D)potential GDP will expand permanently.
• E)potential GDP will contract until it equals actual GDP.

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Definitions:

Corporate Liability

The legal concept that a corporation can be held responsible for the actions of its employees or agents, subject to laws and regulations governing corporate conduct.

Search Warrant

An official court order authorizing law enforcement agencies to conduct a search of a place and seize evidence.

Fourth Amendment

Part of the United States Constitution that protects individuals against unreasonable searches and seizures by the government, requiring warrants to be judicially sanctioned and supported by probable cause.

Fifth Amendment

A provision in the U.S. Constitution that protects against self-incrimination, ensures due process, and prohibits double jeopardy and eminent domain without just compensation.