The Natural Rate Hypothesis States That

question 92

Multiple Choice

The natural rate hypothesis states that

• A)changes in the inflation rate temporarily change the natural unemployment rate.
• B)it is natural for the unemployment rate to be less than the natural unemployment rate.
• C)only natural economic policies can bring a permanent reduction in the unemployment rate.
• D)changes in the inflation rate temporarily change the unemployment rate.
• E)it is natural for the unemployment rate to exceed the inflation rate.

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