The Current U.S. Unemployment Insurance Program Tends to

question 108

Multiple Choice

The current U.S. unemployment insurance program tends to

• A) increase the incentive to switch occupations.
• B) reduce the time workers stay unemployed.
• C) make it more costly for unemployed workers to turn down available jobs.
• D) raise the unemployment rate.

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Definitions:

Accounting Rate of Return

A financial metric used to assess the profitability of an investment, calculated by dividing the average annual profit by the initial investment cost.

Cost of Capital

The return rate that a company must earn on its investment projects to maintain its market value and attract funds.

Net Present Value

A calculation used to determine the present value of a series of future cash flows minus the initial investment, often used in capital budgeting.

Return on Investment

A financial metric used to evaluate the efficiency of an investment, calculated by dividing the benefit (return) of an investment by the cost of the investment.