Which of the Following Is an Example of Cyclical Unemployment

question 130

Multiple Choice

Which of the following is an example of cyclical unemployment?

• A) Dora lost her job when the textile factory closed. She does not have skills to work in another industry and has been unemployed for over a year.
• B) Marsha was laid off from her job with the airline because the recession has reduced the demand for airline travel. She expects to get her job back when the economy picks up.
• C) George is an unskilled worker who mows lawns in the summer, but is unemployed the rest of the year.
• D) Jim had a job as an engineer, but quit when his wife was transferred to another state. He looked for a month before finding a new job that he liked.

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Definitions:

Book Value

The difference between a company's total assets and its total liabilities, as shown in the balance sheet.

Statement of Financial Position

A financial statement detailing a company's assets, liabilities, and shareholders' equity at a specific point in time, providing a snapshot of its financial health.

Shareholders' Equity

The residual interest in the assets of a corporation that remains after deducting its liabilities, representing ownership interest.

Cash Flow to Stockholders

The amount of cash that a company returns to its shareholders, typically in the form of dividends.