If Sam Does Not Have a Job and Is Not

question 6

Multiple Choice

If Sam does not have a job and is not looking for work, he is considered

• A) unemployed and in the labor force.
• B) unemployed and not in the labor force.
• C) not in the labor force.
• D) unemployed.

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Definitions:

Marginal Productivity

The additional output that can be produced by adding one more unit of a specific input, keeping all other inputs constant.

Perfectly Competitive

A type of market where numerous small firms compete against each other offering products that are virtually interchangeable and where no single company can dictate the market price.

Marginal Productivity

The additional output that is produced by employing one more unit of a particular input, holding other inputs constant.

Income Distribution

The way in which total income is shared among the population or different groups within society.