On average, it takes 3 months for an unemployed person to find a job. A job lasts for 30 months on average. The labor force stays constant. Find the long-run (steady-state) unemployment rate.
Sample Solution
On average, it takes 3 months for an unemployed person to find a job. A job lasts for 30 months on average. The labor force stays constant. Find the long-run (steady-state) unemployment rate.
Sample Solution