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.

---

Definitions:

Parol Evidence Rule

A legal principle that prevents parties in a contract dispute from presenting evidence of prior or contemporaneous oral agreements that would contradict the written terms of the contract.

Writing Requirement

A legal principle that certain agreements or contracts must be in writing to be legally binding, especially relevant in real estate transactions and contracts that cannot be performed within one year.

Statute of Frauds

A legal principle that requires certain contracts to be in writing and signed by the parties involved to be enforceable.

Signature Requirement

A legal or regulatory necessity for signatures on documents to validate their authenticity or to indicate agreement to terms.