Which of the Following Will Most Likely Increase the Natural

question 2

Multiple Choice

Which of the following will most likely increase the natural rate of unemployment?

• A) a decrease in the minimum wage
• B) an increase in unemployment benefits
• C) an increase in the number of people who stop looking for a job
• D) an increase in the proportion of prime-age workers as a share of the labor force

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Definitions:

Current Ratio

A financial metric that compares a company's current assets to its current liabilities, indicating its ability to meet short-term debt obligations.

Financial Strength

A measure of the stability and health of an organization's finances, often assessed by factors like liquidity, solvency, and profitability.

Days' Sales Outstanding

An indicator of how quickly a company collects cash from accounts receivable after a sale over a given period.

Accounts Payables

Short-term liabilities of a company, representing amounts owed to suppliers or creditors for goods and services received but not yet paid for.