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What is the natural rate of unemployment

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Reference no: EM132501249

Assume in 2019 the rate of job separation is 1% and the rate of job finding is 19%. In 2020 during a recession, 85 out of every 1000 employed workers become separated from their jobs while 21 out of every 100 unemployed workers find jobs.

a. What is the natural rate of unemployment during the recession? 

b. What is the percent change in the unemployment rate between 2019 and 2020?

c. Describe a governmental program that will decrease the unemployment rate

Reference no: EM132501249

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