Start learning →

An economy is at full employment when actual unemployment equals the:

ANatural rate
BNominal rate
CNotional rate
DNautical rate
Answer & Solution
Correct answer: A. Natural rate
1. Full employment does not mean zero unemployment. 2. Some frictional and structural churn remains. 3. So it matches the natural rate. _Source: OpenStax Principles of Macroeconomics 3e, Chapter 8, Unemployment._
Practise this question with Quill — UPSC EPFO EO →

Keep practising Unemployment and Labour Force

Browse all Unemployment and Labour Force questions for UPSC EPFO EO, or explore more Economics topics.

Start a Unemployment and Labour Force lesson →
Related questions
Unemployment bingoType the numberSort the labour ideasCounted or not countedSlice the labour wordsRun the labour gatesPop the labour force groupsCatch the unemployment types