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-Refer to the above figure. The rational expectations hypothesis implies that an anticipated increase in aggregate demand from AD1 to AD2 will
Structural Unemployment
A type of joblessness resulting from a disparity between the abilities available in the workforce and the competencies required by businesses.
Manufacturing Jobs
Employment in industries that produce goods using labor and machines, typically within a factory or production facility.
Unemployment Insurance
A government program that provides financial assistance to unemployed workers, helping to mitigate the loss of income during periods of joblessness.
Frictional Unemployment
This refers to the short-term unemployment that arises from the process of matching workers with jobs, typically when individuals are transitioning between jobs, entering the workforce, or changing locations.
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