Where is the economy operating relative to its potential gdp
Econometrics
(Natural Rate of Unemployment) What is the relationship between potential output and the natural rate of unemployment? If the economy currently has a frictional unemployment rate of 2 percent, structural unemployment of 2 percent, seasonal unemployment of 0.5 percent, and cyclical unemployment of 2 percent, what is the natural rate of unemployment? Where is the economy operating relative to its potential GDP?
