The Natural Rate of Unemployment

question 28

Multiple Choice

The natural rate of unemployment

• A)can vary over time and defines the location of the long-run aggregate supply curve.
• B)is constant over time and defines the location of the long-run aggregate supply curve.
• C)varies over time in response to changes in aggregate demand.
• D)is inversely related to the price level.

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Definitions:

Balance Sheet

A financial statement that presents a company's assets, liabilities, and equity at a specific point in time, showing the company's financial condition.

Scrip Dividends

A form of dividend payment made by a company to its shareholders in the form of additional stock, instead of cash.

Property Dividends

Dividends paid to shareholders in the form of assets other than cash.

Stock Dividends

A dividend payment made to shareholders in the form of additional shares rather than cash payout, reflecting the company's desire to reinvest the dividend back into the business.