Frictional Unemployment Is

question 5

Multiple Choice

Frictional unemployment is

• A)not inevitable;rather,it can be reduced to zero by well-designed public policies.
• B)not inevitable;rather,it could be reduced to zero if by the elimination of unemployment insurance.
• C)inevitable,because at any given time,jobs are being created in some firms and destroyed in other firms.
• D)inevitable,because in some industries,wages are always set above the level that brings supply and demand into equilibrium.

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Definitions:

Return on Total Assets

A financial ratio that measures a company's profitability relative to its total assets.

Total Assets

The sum of all assets owned by a company, reflecting its overall resources, including both current and non-current assets.

Net Income

The total profit of a company after all expenses and taxes have been subtracted from total revenue.

Equity Multiplier

A financial ratio that measures the portion of a company's assets that are financed by shareholder's equity, providing insights into leverage.