contestada

For every 1% increase in unemployment , there is a corresponding 2% decrease in potential GDP. This creates a GDP gap What is the GDP gap at 5% unemployment?
A. 5%
B. 10%
C. 2.5%

Respuesta :

The answer is B. 10%, because the pattern is just seeing the unemployment rate (5%) and multiplying it my 2 to get the GDP Gap.