A countrys current unemployment rate is 11 percent. Economists estimate that its natural rate of unemployment is
Question:
A country’s current unemployment rate is 11 percent. Economists estimate that its natural rate of unemployment is 6 percent.
About how large is this economy’s negative GDP gap?
a. 1 percent
b. 3 percent
c. 6 percent
d. 10 percent
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Related Book For
Macroeconomics
ISBN: 9781264112456
22nd Edition
Authors: Campbell McConnell, Stanley Brue, Sean Flynn
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