Use the Information Below to Answer the Following Questions

question 105

Multiple Choice

Use the information below to answer the following questions.
Fact 21.2.3
Oregon's 5.6 percent unemployment rate hovers close the national average of 5.5 percent. A few years ago, Oregon had one of the highest unemployment rates in the nation. To avoid rising unemployment, Oregon Governor Kulongoski introduced a plan that provides public schools and universities with enough state funds to meet growing demand for skilled workers. Also Kulongoski wants to use state and federal money for bridges, roads, and buildings to stimulate more construction jobs.
Source: The Oregonian, July 8, 2008
-Consider Fact 21.2.3. If these policies are successful, we would expect to see Oregon's natural unemployment rate to

• A)fall to zero percent.
• B)fall.
• C)not change.
• D)rise.
• E)be equal to the sum of cyclical, structural, and frictional unemployment rates.

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Definitions:

Joint Decisions

Decisions made collectively by two or more parties after considering all perspectives and reaching a consensus.

BATNA

Best Alternative To a Negotiated Agreement; the best course of action a party can take if negotiations fail and an agreement cannot be reached.

Negotiated Agreement

A mutual arrangement or contract reached through discussion and compromise between parties.

Non-Rational Escalation

The phenomenon of continuing a course of action even when it is not in one's best interest, disregarding rational analysis.