When Actual Unemployment Is Less Than Its Natural Rate,the

question 92

Multiple Choice

When actual unemployment is less than its natural rate,the

• A) economy is expanding beyond its long-run capabilities.
• B) economy is producing within its long-run capabilities.
• C) numbers must be wrong because the actual unemployment rate can never be less than the natural rate.
• D) economy is in a recession.
• E) economy must be experiencing high inflation.

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Definitions:

Demographic Data

Statistical data relating to the population and particular groups within it, often used for research, marketing, and policy-making.

Cultural Expectations

The shared beliefs or norms that a group holds about how individuals should behave in various contexts.

Education

The systematic process of facilitating learning, or the acquisition of knowledge, skills, values, and habits through various forms.

Lifestyle

The way in which a person or group lives, including patterns of social relations, consumption, entertainment, and dress.