Long Term Unemployment Causes All of the Following Except

question 31

Multiple Choice

Long term unemployment causes all of the following except

• A) depreciation of human capital
• B) reduced probability of reemployment
• C) reduced intensity of job search
• D) increased unemployment insurance replacement rates
• E) discouraged worker effects and labor market withdrawal

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Definitions:

Incentive to Work

refers to the factors or motivations that encourage individuals to engage in employment or increase their work effort.

On-The-Job Training

A method of learning skills and competencies required for a job through direct performance during work hours.

Negative Income Tax

A welfare system within which individuals earning below a certain amount receive supplemental pay from the government instead of paying taxes.

Income Distribution

Income distribution is the way in which total income is shared among the population of a country or region.