Frictional Unemployment Is the Result of

question 189

Multiple Choice

Frictional unemployment is the result of

• A)a persistent mismatch between the skills and characteristics of workers and the requirements of the jobs.
• B)the search process of matching workers with jobs.
• C)the ups and downs in inflation.
• D)a slowdown in the economy.

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Definitions:

Covariances

A measure of how two securities move in relation to each other, indicating the degree to which their returns are interconnected.

Investments

The act of allocating resources, usually money, with the expectation of generating an income or profit.

Single Index Model

A simplified financial model that describes the return of a security as a linear function of the return of a single market index, plus some random noise.

Portfolio

A diverse collection of investments held by an individual or institution, including stocks, bonds, real estate, or other financial assets, designed to reduce risk and achieve specific financial goals.