The natural unemployment rate is linked to potential GDP and to:
AFuel efficiency
BForeign exchange
CFiscal expansion
DFull employment
Answer & Solution
Correct answer: D. Full employment
1. Two related concepts are named in the text.
2. One is potential real GDP.
3. The other is full employment.
_Source: OpenStax Principles of Macroeconomics 3e, Chapter 8, Unemployment._
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