Frictional Unemployment Exists Because

question 43

Multiple Choice

Frictional unemployment exists because

• A) the quantity demanded of labor exceeds the quantity supplied at the equilibrium wage rate.
• B) of fluctuations in economic activity.
• C) technological changes make the skills of the workers incompatible with the skills used on the job.
• D) it takes time for people seeking jobs and employers seeking workers to find each other.

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Definitions:

Utilitarianism

An ethical theory that posits the best action is the one that maximizes utility, usually defined as that which produces the greatest well-being of the greatest number of people.

Welfare

Governmental provision of economic assistance to individuals in need.

Well-being

A state of being comfortable, healthy, or happy, often considered holistically including physical, mental, and social aspects.

Political Causes

Advocacy or movements aimed at influencing political policies or systems.