ECN 211 Macroeconomic Principles Fall Final Exam Study Guide 2026 (Complete And Verified Study material) (29pages) LEARNEXAMS

Unemployment Why is it a good sign for the economy when 3 people are quitting their jobs? - We are likely to the right of the equilibrium at the AS curve; real wage is lower than what they are expecting for their current work. - ???? > ???????? ???????????? ???? > ???????? - If people are quitting jobs, they are confident that they can quickly find better jobs elsewhere; low competition for jobs; lots of jobs available. - Natural rate of output (Yn) is amount of output economy produces when unemployment is at its natural rate. Also called potential output or full employment output. Determined by economy's stocks of LKHNA - Short-run aggregate supply curve - Key aspect: output deviates from its natural rate when the actual price level deviates from the price level people expected. Sticky-wage theory, sticky-price theory, misperceptions theory Measuring Unemployment Bureau of Labor Statistics (BLS) gathers responses from the Current Population Survey, categorizes as - employed, - unemployed, - not in the labor force. Illustrations: