Which of the following statements is true?
A) If the actual unemployment rate is currently 5% and the natural unemployment rate is 5%,then the economy is operating at full-employment.
B) The labor force participation rate is equal to the civilian noninstitutional population divided by the civilian labor force.
C) A discouraged worker is counted as an unemployed worker.
D) a and c
E) a,b,and c

Question

Quizplus · Accepted Answer

The economy is considered to be at full employment when the actual unemployment rate equals the natural unemployment rate, which includes frictional and structural unemployment but not cyclical unemployment.

Which of the Following Statements Is True