Full Employment Occurs When

question 1

Multiple Choice

Full employment occurs when

• A) structural unemployment is zero.
• B) cyclical unemployment is zero.
• C) frictional unemployment is zero.
• D) cyclical and frictional unemployment are zero.

---

Definitions:

Investment

The act of allocating funds into ventures with the intention of gaining financial returns or tangible outcomes.

Compounded Quarterly

Interest on an investment or loan that is calculated four times a year, adding each interest payment to the principal for future interest calculations.

Maturity Value

The amount payable to an investor at the end of a fixed-term investment including the principal and the interest.

Compounded Annually

Compounding annually is a method where interest is added to the principal sum at the end of each year, impacting the total interest earned or paid.