Detrimental to the circular equilibrium

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The most common unemployment rate used by the U.S. Government (there are six rates from U1 to U6) counts underemployed people (people working less than full time who want full time work) as employed. Explain why this can be detrimental to the circular equilibrium between the market for goods, the market for labor; and, the market for money.

Reference no: EM131269996

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