Which of the following does not influence the natural rate of unemployment in the U.S.?
A) demographics
B) the natural rate in Europe and Japan
C) the composition of the labor force
D) surprises in productivity growth
B
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In recent years, the Fed has chosen to target interest rates rather than the money supply because
a. Congress passed a law requiring them to do so. b. the President requested them to do so. c. the money supply is hard to measure with sufficient precision. d. changes in the interest rate change aggregate demand, but changes in the money supply do not.
The major suppliers of U.S. dollars to the foreign exchange market are:
A. U.S. households or firms wishing to purchase foreign goods or assets. B. the Federal Reserve. C. U.S. households or firms wishing to purchase U.S. goods or assets. D. foreigners wishing to purchase U.S. goods or assets.