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Suppose an Economy's Natural Rate of Unemployment Is 5 Percent

Question 33

Multiple Choice

Suppose an economy's natural rate of unemployment is 5 percent.If the unemployment rate is 7 percent,according to Okun's law,
Is:

A) 4 percent.
B) -4 percent.
C) 2 percent.
D) -2 percent.
E) Not enough information is given.

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