If the Unemployment Rate Is ________ the Natural Rate, Then

question 7

Multiple Choice

If the unemployment rate is ________ the natural rate, then we expect to see ________ wages, causing the short-run aggregate supply curve to shift up.

• A) less than; increasing
• B) less than; decreasing
• C) greater than; increasing
• D) greater than; decreasing

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Definitions:

Material Reward

Tangible incentives such as money, bonuses, or gifts given to employees as recognition for their work or achievements.

Expectancy Theory

A psychological theory that explains motivation as a function of an individual's expectation that effort will lead to high performance and high performance will lead to desired outcomes.

Task

A specific piece of work or duty assigned to someone as part of a job or course of study.

Motivational

Pertaining to or involving the reasons why one engages in a particular behavior, particularly those that drive, direct, and maintain goal-oriented actions.