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Beveridge curve
 

 

A graph depicting the relationship between unemployment and the job vacancy rate. When the vacancy rate is plotted on the vertical axis and unemployment on the horizontal the curve slopes downwards as a higher rate of unemployment occurs with a lower rate of vacancies. An inward move depicts increased efficiency in the labour market as any level of unemployment is sustained with fewer vacancies.

 

Reference: Oxford Press Dictonary of Economics, 5th edt.