Which of the Following Statements Best Explains Why Unemployment Rates

question 70

Multiple Choice

Which of the following statements best explains why unemployment rates in European countries have tended to be higher than unemployment rates in Canada or the United States? (Note: this statement refers not to the current recession in Europe but to a longer-term average.)

• A)European countries have higher-paying jobs than Canada or the U.S.,which causes an influx of workers into the labour force,which then increases the unemployment rate.
• B)Workers in European countries have less skills and training than North American workers and therefore have higher rates of unemployment.
• C)European countries have experienced more recessionary gaps than Canada or the U.S.and therefore have significantly higher cyclical unemployment.
• D)Canada and the U.S.have greater labour-market flexibility than European countries.
• E)The Canadian and the U.S.economies are more heavily unionized than European countries.

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