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AP® Macroeconomics

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Unemployment Rate while a Country is Operating at Full Employment

APMACR-TDZZK2

The unemployment rate of a country operating at its full employment level of output on an aggregate demand and supply model is known as the country’s

A

labor force participation rate.

B

cyclical unemployment.

C

expected rate of unemployment.

D

long-run unemployment rate.

E

natural rate of unemployment.