Why Is Japan's Unemployment Rate Consistently Well Below the Figures

question 40

Multiple Choice

Why is Japan's unemployment rate consistently well below the figures of most other high-income market economies,even during a recession?

• A)The Japanese labor market is characterized by lifetime employment contracts,thus employees change jobs less frequently.
• B)Because of a more dynamic business environment and higher labor mobility,employees are able to switch and obtain jobs more frequently.
• C)The Japanese government regularly shifts resources to areas of high productivity by eliminating unprofitable enterprises.
• D)Japan follows a highly expansionary monetary policy,which keeps the unemployment rate low.

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