According to the Job-Rationing Explanation of Unemployment

question 147

Multiple Choice

According to the job-rationing explanation of unemployment,

• A)the amount employed depends on the supply of labor.
• B)the actual wage is less than the equilibrium wage.
• C)the amount employed depends on the demand for labor.
• D)the demand for labor is greater than the equilibrium amount.
• E)the supply of labor is less than the demand for labor.

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Definitions:

ACP

Average Collection Period, indicating the average number of days it takes a company to collect payments from its credit sales.

Du Pont Analysis

A framework for analyzing a company's return on equity (ROE) by breaking it down into its constituent components to assess operational efficiency.

Total Assets Turnover

A financial ratio that measures the efficiency of a company's use of its assets in generating sales revenue.

ROE

Return on Equity, a measure of financial performance calculated by dividing net income by shareholders' equity, indicating how effectively management is using shareholders’ funds to generate profit.