Which of the Following Is the Best Example of Frictional

question 65

Multiple Choice

Which of the following is the best example of frictional unemployment?

• A)A worker is laid off because his firm has to reduce production due to reduced demand.
• B)A worker quits her current job to search for a better one.
• C)An ironworker cannot find a job in Ottawa because all job vacancies are in Alberta.
• D)Bank tellers are unable to find jobs due to technological advances in the banking system.
• E)Inflationary pressures have led to higher wages for all jobs.

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Definitions:

Portfolio

An aggregation of financial instruments such as company shares, debt securities, tangible commodities, available cash, and cash-like resources, including mutual funds and ETFs.

Perfectly Positively Correlated

A situation where two variables move in the same direction at the same rate, represented by a correlation coefficient of +1.

Standard Deviation

A measure of the amount of variation or dispersion of a set of values, indicating how spread out the values in a data set are.

Portfolio

A collection of investments held by an individual or institution which may include stocks, bonds, and other assets.