INSTRUCTIONS: Choose the Word or Phrase in [ ] Which

question 21

Essay

INSTRUCTIONS: Choose the word or phrase in [ ] which will correctly complete the statement.Select A for the first item,B for the second item,and C if neither item will correctly complete the statement.
-Alice is 40 years old and earns $35,000 annually.The multiple earnings approach to determine the amount of life insurance needed shows that she should have 6.5 times her earnings.How much insurance should Alice have? (Show all work. )

---

Definitions:

Structural Unemployment

A form of unemployment caused by a mismatch between the skills held by the unemployed population and the skills demanded by the prevailing job market.

Cyclical Unemployment

Unemployment that rises during economic downturns and falls when the economy improves, linked to business cycles.

Frictional Unemployment

Unemployment that occurs when people are between jobs or are entering the labor market for the first time.

Discouraged Workers

Individuals who are not actively seeking work because they believe no jobs are available for them or there are no jobs for which they would qualify.