If the Current Unemployment Rate Is 5%, Under Which of the Following

Multiple Choice

If the current unemployment rate is 5%, under which of the following circumstances would you expect the Bank of Canada to use contractionary monetary policy?

A) if seasonal unemployment is 4 percent and structural unemployment is 3 percent
B) if frictional unemployment is 3 percent and structural unemployment is 4 percent
C) if structural unemployment is 4 percent and seasonal unemployment is 2 percent
D) if cyclical unemployment is 0 percent and frictional unemployment 1.5 percent
E) if frictional unemployment is 2 percent and structural is 3 percent