Chapter 6 Macroecon

Fell by about 1%

Arlina got a 5% raise while the rate of inflation was 6%. Arlina's standard of living:

The consumer price index

In the US, our principal measure of inflation is:

is associated with the economy's max sustainable output rate.

The natural rate of unemployment:

number employed; number in the labor force

The unemployment rate is defined as the ____ divided by the _____.

prices are rising at a slowing pace.

When an economy is going through disinflation:

Cyclical unemployment is zero.

When the economy is operating at full employment:

The Producer Price Index

is a measure of the changes in the average prices received by domestic producers for their output.

Structural unemployment

since the invention of automatic teller machines, many bank tellers have lost their job. This is an example of:

The labor force

the total number of employed and employed