# Okun's law

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#1
Hi
Given equation

y=-0.0511x+0.3176
R squared=0.4701

so intercept of the best fitting line: 0.318 (3 decimal places)
Okun's coefficient is -0.051 (3 decimal places)
if GDP falls by 1.8 percent, predicted rise in unemployment be 0.41, and this answer showing correct

But how calculate
7 percent increase in output growth rate, will decrease the unemployment rate by ....???? My answer of 0.039 incorrect...

Maiya

Thanks
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