Economists in Olliestan Estimate the Natural Rate of Unemployment Is

Multiple Choice

Economists in Olliestan estimate the natural rate of unemployment is 7 percent. If the official unemployment rate is 9 percent, then

A) cyclical unemployment is negative.
B) real GDP is less than potential GDP.
C) healthy unemployment is 2 percent.
D) cyclical unemployment is 9 percent.
E) real GDP is greater than potential GDP.