Saturday, August 8, 2009

Okun's Law

Again unemployment is the big topic this week. Jobs will be on the radar for the foreseeable future. No one really has any idea how to create or sustain good jobs so the area is ripe for discussion.

One interesting topic continues to arise relating to unemployment: That is Okun's law, which states that every 1% increase in unemployment will lead to a 2% drop in GDP.

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