Which of the Following Statements Best Describes Okun's Law

Multiple Choice

Which of the following statements best describes Okun's law?

A) For each 1% that output is greater than potential output, the unemployment rate is 0.5% below the natural rate of unemployment.
B) For each 1% that output is greater than potential output, the unemployment rate is 0.5% above the natural rate of unemployment.
C) For each 0.5% that output is lower than potential output, the unemployment rate is 1% below the natural rate of unemployment.
D) For each 0.5% that output is lower than potential output, the unemployment rate is 1% above the natural rate of unemployment.