Full employment indicates:
A. A zero percent frictional unemployment rate
B. A zero percent cyclical unemployment rate
C. A zero percent seasonal unemployment rate
D. A zero percent structural unemployment rate
E. A zero percent aggregate unemployment rate
E. A zero percent aggregate unemployment rate
Full employment is typically defined as a situation where all individuals who are willing and able to work at the prevailing wage rate are employed. This means that there is no involuntary unemployment in the economy, which would include frictional, cyclical, seasonal, and structural unemployment. Therefore, a zero percent aggregate unemployment rate would indicate full employment.