Which of the Following Would Increase the Natural Rate of Unemployment

question 28

Multiple Choice

Which of the following would increase the natural rate of unemployment?

• A)an increase in the number of younger,less skilled workers in the economy
• B)a reduction in the generosity of unemployment insurance programs
• C)restrictions on the ability of unions to negotiate wage changes with companies
• D)an increase in government-sponsored programs that train unemployed workers so they can find new jobs quickly

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Definitions:

Labor Efficiency Variance

The difference between the actual hours worked and the standard hours allowed for the work done, multiplied by the standard labor rate.

Direct Labor-Hours

The total hours worked by employees directly involved in the manufacturing of a product.

Variable Manufacturing Overhead

Costs that vary with the level of production output and may include expenses such as indirect materials, utilities, and overtime labor.

Raw Materials

Primary substances or components that are converted through the manufacturing process into a finished product.