The Cyclical Unemployment Rate Is Zero When

question 57

Multiple Choice

The cyclical unemployment rate is zero when:

• A) there is not a recessionary gap.
• B) there is not an expansionary gap.
• C) actual GDP and potential GDP are equal.
• D) frictional unemployment equals structural unemployment.

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Definitions:

Sales Discount

A reduction in the price charged to customers, typically given in exchange for prompt payment.

Discount Period

The discount period refers to the time frame in which a payment can be made at a reduced rate, typically in the context of early payment incentives to debtors.

Primary Source

Original documents or evidence directly associated with a subject or event under investigation, used in research.

Revenue

The total amount of money generated by the sale of goods or services related to a company's primary operations.