Unemployment Rates for Skilled Workers Compared to Unemployment Rates for Unskilled

question 183

Multiple Choice

Unemployment rates for skilled workers compared to unemployment rates for unskilled workers are

• A) lower, because skilled workers tend to be employed in less cyclically vulnerable industries, such as the services and nondurable goods industries.
• B) higher, because skilled workers tend to be employed in more cyclically vulnerable industries, such as the durable goods industry.
• C) higher, because businesses are less likely to retain the more costly skilled workers no matter what type of industry.
• D) lower, because skilled workers tend to be primarily employed by government at the local, state, and federal levels.

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Definitions:

Demand Schedules

Tables that show the quantity of a good or service that consumers are willing and able to purchase at different price points.

Monopolistic Competitive Industry

A market structure where many firms sell products that are similar but not identical, allowing for competition based on factors other than price.

Short Run

A period in economics where at least one input is fixed and cannot change, limiting the capacity for production adjustments.

Long Run

In economics, refers to a period in which all factors of production and costs are variable, allowing for complete adjustment to changes.