Suppose that the current unemployment rate is 3.1%. According to the classical economists,
what will naturally occur as a result?

According to classical economists, the economy always operates close to or on its institutional PPF.

Explanation:

The structural unemployment rate is 2.3 percent, the frictional unemployment rate is 2.4 percent, and the current unemployment rate is 3.1 percent. The economy is in an inflationary gap producing more than Natural Real GDP

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