The natural rate of unemployment worsens if:
a. Actually, the natural rate cannot worsen. That's why it's called "natural."
b. Capital markets become more competitive.
c. A nation's resource endowments expand.
d. Unemployment benefits drastically improve.
e. Real wages become more flexible.
.D
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The aggregate demand curve shows the relationship between the ________ and ________
A) price level; quantity of real GDP demanded B) real interest rate: quantity of real GDP supplied C) nominal interest rate; quantity of real GDP demanded D) inflation rate; quantity of real GDP demanded
The large quantity of currency held per person in the United States reflects
A) The high level of GDP per person in the United States. B) The income-expenditure identity. C) The importance of the underground economy. D) The distrust of banks in the United States.