Suppose the economy is experiencing frictional unemployment of 1 percent, structural unemployment of 3 percent and cyclical unemployment of 4 percent. What is the natural unemployment rate?

Suppose a bank has $100 million in checking account deposits with no excess reserves and the required reserve ratio is 10 percent. If the Federal Reserve reduces the required reserve ratio to 4 percent, then the bank can make a maximum loan of

A) $0. B) $4 million. C) $6 million. D) $10 million.

Demand for a specific brand ______ demand for the corresponding product category.

Fill in the blank(s) with the appropriate word(s).