Daniels Morgan
05/16/2023 · Middle School
According to Okun's law, if the unemployment rate goes from \( 7 \% \) to \( 4 \% \), what will be the effect on the GDP? A. It will decrease by \( 3 \% \). B. It will increase by \( 3 \% \). C. It will increase by \( 9 \% \). D. It will decrease by \( 9 \% \).
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The closest option to the effect on GDP according to Okun's Law is B. It will increase by 3%.
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