Workers who suffer disability are likely to suffer higher ________

A difficulty faced by policymakers who wish to use the unemployment rate as a guide to whether the economy is weak or strong is that

A) the natural rate of unemployment is hard to measure. B) the natural rate of unemployment almost never changes. C) policymakers must use data on output to tell whether the unemployment rate is too high or too low. D) the impact of policy on the economy is subject to long and variable lags.

Under a flexible exchange rate system, one factor that does NOT directly affect rates of exchange is

A) changes in the inflation rate in each country. B) changes in productivity in each country. C) changes in gold holdings in each country. D) changes in economic stability in each country.