The deviation of unemployment from its natural rate is called?

Question: The deviation of unemployment from its natural rate is called?

The deviation of unemployment from its natural rate is called "cyclical unemployment." This type of unemployment occurs due to fluctuations in the business cycle and economic activity, leading to periods of economic expansion and contraction. When the economy is in a recession or contraction phase, cyclical unemployment tends to be high, as businesses reduce their workforce and lay off workers. Conversely, during periods of economic growth, cyclical unemployment tends to be low, as businesses expand and hire more workers to meet increasing demand. The natural rate of unemployment is the rate of unemployment that exists when the economy is at full employment, and there is no cyclical unemployment.

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