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stepan [7]
3 years ago
8

If the natural rate of unemployment is 5%, and the actual rate of unemployment is 4%: a the short-run Phillips curve will shift

down. b disinflation is likely to occur. c there will be no effect on prices. d inflation will increase. e deflation is likely to occur.
Business
1 answer:
fiasKO [112]3 years ago
3 0

Answer: d. inflation will increase.

Explanation:

The Natural rate of unemployment is the long term rate of unemployment which means that it is the rate associated with the Potential GDP.

If the Actual unemployment is less than this natural rate, it means that the Economy is performing better than the potential GDP. When this is happening, it means that the economy is overheating.

One of the symptoms of an overheated economy is increased inflation as more people can afford to buy goods and services. Inflation is therefore more probably rising in this economy.

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Which Of the following is the most important academic skill that you would need in a scientific career?
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Research skills

(Time management is lower on the totem pole while the other 2 are on the bottom)

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aliya0001 [1]

It should be noted that the competitive advantage of Johan's company is being affected by Demand conditions.

<h3>What are Demand conditions?</h3>

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This is why Johan was happy that consumers had asked for a better grade of plastic for the toys his company produced.

Learn more about Demand conditions at:

brainly.com/question/4804206

7 0
2 years ago
Warren corporation purchased a truck at a cost of $60,000. It has an estimated useful life of five years and estimated residual
s344n2d4d5 [400]

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What is the amount of depreciation that warren should record for year 3 under the straight-line depreciation method? $15500

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