If the Unemployment Rate Is Greater Than the NAIRU

question 76

Multiple Choice

If the unemployment rate is greater than the NAIRU,

• A)there is an inflationary gap.
• B)real national income is above potential GDP.
• C)there is a negative output gap.
• D)there will be upward pressure on wages.
• E)the AS curve will shift upward.

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Definitions:

Discrimination

Unjust or prejudicial treatment of different categories of people or things, especially on the grounds of race, age, or sex.

Federal Laws

Regulations established by the national government that apply throughout the country, superseding state and local laws where there is conflict.

Equal Rights

The principle that all individuals are entitled to the same rights and legal protections, without discrimination on any grounds.

Discrimination

Unjust or prejudicial treatment of different categories of people, especially based on race, age, sex, or disability.