Sam Has No Job but Keeps Applying to Get a Job

question 214

Multiple Choice

Sam has no job but keeps applying to get a job with a business that is unionized. He is qualified and he finds the pay attractive, but the firm is not hiring. Sam is

• A)structurally unemployed.Structural unemployment exists even in the long run.
• B)structurally unemployed.Structural unemployment does not exist in the long run.
• C)frictionally unemployed.Frictional unemployment exists even in the long run.
• D)frictionally unemployed.Frictional unemployment does not exist in the long run.

---

Definitions:

Net Present Value

The difference between the present value of cash inflows and the present value of cash outflows over a period, used in capital budgeting to assess the profitability of an investment.

Simple Rate

A basic form of interest calculation representing a percentage of the principal amount over a certain period of time.

Payback Period

The payback period is the duration of time it takes to recover the cost of an investment. This metric is commonly used to assess the feasibility or profitability of a project.

Straight-Line Method

A method of calculating depreciation or amortization that allocates evenly the cost of an asset over its useful life.