The Rate of Unemployment Is Found by Dividing The

question 143

Multiple Choice

The rate of unemployment is found by dividing the:

• A) number of people looking for work by the population.
• B) number of people not working but looking for work by the sum of the number of people not working but looking for work and the number of people employed.
• C) labour force by the number of people looking for work.
• D) unemployed and discouraged workers by the labour force.

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Definitions:

Equilibrium Wage

The wage rate at which the quantity of labor demanded by employers equals the quantity of labor supplied by workers.

Prevailing Wage

The average wage paid to employees in a specific area or industry, often determined for purposes of setting minimum wage levels on government contracts.

Black Market Activities

Transactions that take place outside of officially sanctioned channels, often illegal or unregulated by the government.

Market Efficiency

The degree to which market prices reflect all available, relevant information, leading to optimal allocation of resources.