This topic contains a solution. Click here to go to the answer

Author Question: Okun's Law says that the difference between the unemployment rate and the natural unemployment rate ... (Read 60 times)

ENagel

  • Hero Member
  • *****
  • Posts: 540
Okun's Law says that the difference between the unemployment rate and the natural unemployment rate determines
 
  A) potential GDP.
  B) real GDP.
  C) the real interest rate.
  D) the gap between potential GDP and real GDP.
  E) the gap between the inflation rate and the unemployment rate.

Question 2

Okun's Law states that
 
  A) there is a relationship between the unemployment rate, real GDP, and potential GDP.
  B) supply creates its own demand.
  C) as the unemployment rate rises, the inflation rate falls.
  D) a higher inflation rate leads to a higher nominal interest rate.
  E) as the real wage rate falls, the quantity of labor demanded increases.



Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

Tonyam972

  • Sr. Member
  • ****
  • Posts: 342
Answer to Question 1

D

Answer to Question 2

A




ENagel

  • Member
  • Posts: 540
Reply 2 on: Jun 29, 2018
Excellent


dreamfighter72

  • Member
  • Posts: 355
Reply 3 on: Yesterday
Great answer, keep it coming :)

 

Did you know?

When taking monoamine oxidase inhibitors, people should avoid a variety of foods, which include alcoholic beverages, bean curd, broad (fava) bean pods, cheese, fish, ginseng, protein extracts, meat, sauerkraut, shrimp paste, soups, and yeast.

Did you know?

Adults are resistant to the bacterium that causes Botulism. These bacteria thrive in honey – therefore, honey should never be given to infants since their immune systems are not yet resistant.

Did you know?

Elderly adults are at greatest risk of stroke and myocardial infarction and have the most to gain from prophylaxis. Patients ages 60 to 80 years with blood pressures above 160/90 mm Hg should benefit from antihypertensive treatment.

Did you know?

The human body produces and destroys 15 million blood cells every second.

Did you know?

Human kidneys will clean about 1 million gallons of blood in an average lifetime.

For a complete list of videos, visit our video library