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If the Frictional Rate of Unemployment Is 1

Question 125

Multiple Choice

If the frictional rate of unemployment is 1.45%, the structural rate of unemployment is 2.3%, and the total unemployment rate is 6%, then we can conclude that:


A) there is 2.25% actual unemployment.
B) the labor force participation rate has fallen significantly.
C) the economy is experiencing an economic boom.
D) the equilibrium rate of unemployment is 3.75%.

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