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(1) Suppose we know the functional form F(u,z) = z(1-u) and z = 1; and the markup m = 5%. Calculate the natural rate of

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(1) Suppose we know the functional form F(u,z) = z(1-u) and z = 1; and the markup m = 5%. Calculate the natural rate of unemployment, i.e., the unemployment rate when the economy is at the medium-run equilibrium

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