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Chapter 7, Problem 10QAP

a

To determine

To know:Whether unemployment rate is higher in recession period or following period.

b)

To determine

To find:Pattern of unemployment rate if discouraged workers return to labor force.

c)

To determine

To know:Effect of policy on natural rate on unemployment.

d)

To determine

To find:Effect of unemployment benefits

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Discuss two methods that can be used to determine the full-employment rate of unemployment and what they suggest for the relationship between inflation and unemployment.
Please select the correct answer, there is only one possible answer to each question  If the economy producing at below full employment, the the output gap called  Answer 1 when the economy producing in close economy then there will be no  Answer 2   The total number of workers, which is the sum of the unemployed and the employed   Answer 3   Workers who stop looking for work due to an unsuccessful Search   Answer 4 The sum of frictional and structural unemployment called  Answer 5 If the economy producing at above full employment, the the output gap called  Answer 6 An institution designed to regulate the banking system and money supply Answer 7 Trading goods and services directly for goods and services  Answer 8 The interest rate that Central bank charges on loans to commercial banks called  Answer 9   The minimum legal percent of deposits that banks must hold as reserves   Answer 10 the chooses is : Recessionary gap  discount rate…
Which of the below is true about the above case? a. The natural rate of unemployment is above the actual rate of unemployment b. The cyclical rate of unemployment is greater than zero c. There is an inflationary output gap d. There is a recessionary output gap e. there is a recession f. actual GDP is greater than the potential GDP

Chapter 7 Solutions

Macroeconomics, Student Value Edition Plus MyLab Economics with Pearson eText -- Access Card Package (7th Edition)

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