Frictional Unemployment Is

question 215

Multiple Choice

Frictional unemployment is:

• A) short-term unemployment associated with people who are switching jobs.
• B) long-term unemployment caused by changes in consumer demand or technology.
• C) the unemployment that arises due to downturns in the business cycle.
• D) equivalent to the natural rate of unemployment.

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Definitions:

Variable Manufacturing Costs

These are costs that vary directly with the level of production output, including materials, labor, and certain overheads.

Salespersons

Individuals who sell goods and services to customers, aiming to meet customer needs and achieve sales targets.

Absorption Costing

An accounting approach that incorporates all costs of production, including both variable and fixed overheads, into the price of a product.

Variable Costing

An accounting method that includes only variable production costs in the cost of goods sold and treats fixed overhead costs as period expenses.