Suppose the Natural Rate of Unemployment Is 4 Percent

question 188

Multiple Choice

Suppose the natural rate of unemployment is 4 percent. If the actual unemployment is 5 percent, then the cyclical unemployment rate is

• A) -9 percent.
• B) -1 percent.
• C) 1 percent.
• D) 9 percent.

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Definitions:

Organizational Corollary

A principle related to how individuals structure and organize their perceptions and cognitions in a complex environment.

Commonality Corollary

A principle that suggests individuals have common traits or experiences that link them together.

Predict the Future

The practice or ability to make forecasts about upcoming events based on current or past information.

Hostile Person

An individual who frequently exhibits anger, aggression, or resentment towards others.