When the current state of the economy is such that Real GDP is equal to Natural Real GDP, the economy is in . In this situation, the (actual) unemployment rate is the natural unemployment rate, and there is in the labor market.

When the current state of the economy is such that Real GDP is equal to Natural Real GDP, the economy is in Full Employment. In this situation, the (actual) unemployment rate is equal  to the natural unemployment rate, and there is equilibrium in the labor market.

Explanation:

Real GDP is the current  value of production in an economy in a year.

Natural Real GDP is optimum level of production of goods and services in an economy in a year

Actual unemployment Rate

Natural unemployment Rate is the persistent unemployment indices in an efficient, expanding economy when labor and resource markets are in equilibrium.

Full employment is an economic situation in which all available labor resources are being used in the most efficient way possible.

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