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Types of unemployment

1. Structural= mismatch in skills and jobs


2. Frictional = a period of unemployment when a person is leaving one job and
searching for another.
3. Cyclical= insufficient demand
4. Seasonal = unemployment due to off-season

Inflation:

1. Hyperinflation = rapid increase in the prices


2. Creeping inflation
3. Running inflation

Causes:
1. Demand pull inflation
2. Cost push inflation

Deflationary gap
Inflationary gap
Recessionary gap:

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