What is Okun's Law? What will be an ideal ...

[sheilaspns]

What is Okun's Law?
 
  What will be an ideal response?

Question 2

Refer to Figure 1A.1. Assume that the graph in this figure represents the demand and supply curves for women's clothing. An increase in the wage rate for seamstresses would be represented by a shift from
 
  A) Demand 1 to Demand 2.
  B) Demand 2 to Demand 1.
  C) Supply 1 to Supply 2.
  D) Supply 2 to Supply 1.

[lgoldst9]

Answer to Question 1

Okun's Law says that for each percentage point that the unemployment rate is above the natural unemployment rate, there is a 2 percent gap between real GDP and potential GDP.

Answer to Question 2

D

[sheilaspns]

Thanks for the timely response, appreciate it

[ryansturges]

YES! Correct, THANKS for helping me on my review