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Suppose the government passes a law that reduces unemployment benefits in a way that causes unemployed workers to seek out new jobs more quickly. The policy will cause the natural rate of unemployment to fall, which will shift the long-run aggregate supply curve to the right.
Hope this helps!!
Hope this helps!!
The unemployment benefits are the financial and non-financial benefits provided to the eligible candidates who have recently lost their jobs due to certain conditions. These benefits protect the employees at the time of layoff period.
The policy will cause the natural rate of unemployment to shift the long-run aggregate supply curve to the left.
When the government passes a law for the reduction in the unemployment benefits paid to the unemployed workers, that will impact the speed for fetching new jobs quickly. This phenomenon will naturally shift the long-run supply curve to the left, that is there is a direct relationship between the long-run supply curve and the policies of unemployment benefits.
To know more about unemployment benefits, refer to the link:
https://brainly.com/question/13879646
