3. Find the Okun law equation for these economies:

a. A country has labor force growth of 1.5%, labor productivity growth of .5%, and an Okun coefficient of -.3

b. A country has no growth of labor force, labor productivity growth of 1.5% and an Okun coefficient of -.5

(3 pts) In the US Okun relationship given by equation 9B.2u = u u(1) =

c. If the unemployment rate is 6%, what output growth will reduce the unemployment rate to 5.5%?