Multiple Choice
According to Okun's law, if the unemployment rate is 7 percent and the natural unemployment rate is 5 percent, potential GDP is ________ than real GDP.
A) 2 percent less
B) 4 percent less
C) 7 percent less
D) 2 percent greater
E) 4 percent greater
Correct Answer:
Verified
Correct Answer:
Verified
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