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The natural unemployment rate includes1)neither frictional nor structural unemployment.2)frictional, but not structural unemployment.3)structural, but not frictional unemployment.4)both frictional and structural unemployment.

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When the Fed makes an open market​ purchase, the supply curve for bonds in the private market shifts to the​ ________ and the price of bonds​ ________.A.​left; increasesB.​right; decreasesC.​left; decreasesD.​right; increases

Many economists believe that the growth of the money supply isA.inversely related to the price level.B.directly related to interest rate growth.C.not related to output growth.D.positively related to the growth of real GDP.

A member of​ Congress, who has never had an economics​ course, has just been placed on a Money and Banking Committee. The official needs a briefing prior to the first meeting concerning the role of the money supply in the economy. Which of the following statements should you insist that the official remember when entering the first committee​ meeting?A.There is an indirect relationship between the growth of the money supply and the price​ level; and a direct​ (but not​ perfect) relationship between the growth of the money supply and GDP growth.B.There is a​ direct, albeit​ loose, relationship between the growth of the money supply and the price​ level; and an indirect relationship between the growth of the money supply and GDP growth.C.There is an indirect relationship between the growth of the money supply and the price​ level; and an indirect relationship between the growth of the money supply and GDP growth.D.There is a​ direct, albeit​ loose, relationship between the growth of the money supply and the price​ level; and a direct relationship between the growth of the money supply and GDP growth.

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