Which of the Following Is False in Regard to the Unemployment

question 175

Multiple Choice

Which of the following is false in regard to the unemployment rate?

• A) A nation benefits from unemployment due to a lower level of wages required to be paid by employers.
• B) According to the Bureau of Labuor Statistics, families lose wages due to unemployment.
• C) The unemployment rate is the percentage of a nation's labour force not working at any one time.
• D) The purchasing power of unemployed workers is lost.

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Definitions:

Variable Costs

Expenses that change in proportion to the activity of a business, such as costs for raw materials.

Fixed Costs

Expenditures that do not change over a short period of time, regardless of the level of production or activity.

Break-even Point

The financial point at which total costs and total sales are equal, resulting in no net loss or gain for the business.

Variable Costs

These are costs that vary directly with the level of production or sales volume.