Centrally planned economy North Korea Number of jobs rose due to workers

Centrally planned economy north korea number of jobs

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Centrally planned economy: North Korea
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Number of jobs rose due to workers becoming more productiveOnly U-6 includes discouraged workersIn the latest report, unemployment rate is about 3.6%, 128,000 jobs were created. Spending on newhomes rose because of lower interest rate.GDP or AD = C + G + I + NXPer-worker production graph shift up: Total Factor Productivity: A: better capital, better humancapital, better organized businessU-3 “headline” unemployment: unemployed/labor forceU-6 unemployment: (unemployed + “marginally attached” + underemployed) / (labor force +“marginally attached”)Long-term unemployment: 27 months+ / unemployedOutput Gap: real GDP – potential GDPNatural rate of unemployment: (Structural + Frictional unemployment) / labor forceReal GDP = Potential GDP output gap is 0 at the natural rate of unemployment fullemploymentOkun’s Law: percentage change of Real GDP = 3 – 2 times change in unemployment rate. Factors that affect AD: dollar value, growth of other countries, Net ExportsI: investment: purchase/production of capital goods, purchase of inventories, purchase of new house.
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