Okun's Law states that for each percentage point that the ...

[lracut11]

Okun's Law states that for each percentage point that the unemployment rate is above its natural rate, there is a ________ percent gap between real GDP and potential GDP.
 
  A) 4 B) random C) 2 D) 6 E) 8

Question 2

The figure above shows the loanable funds market. At an interest rate of
 
  A) 4 percent, the quantity supplied of loanable funds equals 18 trillion.
  B) 8 percent, the quantity demanded of loanable funds exceeds the quantity supplied.
  C) 6 percent, the quantity demanded of loanable funds equals 14 trillion.
  D) 8 percent, there is a surplus of loanable funds.
  E) 4 percent, there is a surplus of loanable funds.

[Moriaki]

Answer to Question 1

C

Answer to Question 2

D

[lracut11]

Thank you

[Moriaki]

Happy to help you