Some Economists Say That "Full Employment" Exists in an Economy

question 31

Multiple Choice

Some economists say that "full employment" exists in an economy when:

• A)cyclical unemployment is 2 percent.
• B)cyclical unemployment is 4 to 6 percent.
• C)frictional unemployment is zero.
• D)the unemployment rate is 4 to 7 percent.
• E)the natural unemployment rate is zero.

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Definitions:

World War II

A global conflict that lasted from 1939 to 1945, involving most of the world's nations and marked by significant events like the Holocaust and the use of nuclear weapons.

Loosened Border Controls

Policies or actions that make regulations and checks at country borders less strict, facilitating easier movement of people and goods between nations.

Displaced Persons Act

A law enacted by the U.S. Congress in 1948 to allow entry for a specific number of World War II refugees and displaced persons.

European Jews

A diverse ethnic and religious group originating from Europe, with a rich cultural history and traditions, many of whom have faced persecution throughout centuries.