All of the Following Would Increase the Natural Rate of Unemployment

question 307

Multiple Choice

All of the following would increase the natural rate of unemployment EXCEPT

• A) union activity restricts the mobility of labor.
• B) government licensing of teachers restricts employment.
• C) a mismatch of skills and jobs.
• D) an economic recession.

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Definitions:

Production Technology

The methods, equipment, and processes used to produce goods and services.

Economic Profit

The split between total financial receipts and overall disbursements, considering both direct and hidden expenses.

Accounting Profit

The net income a company generates calculated by subtracting total explicit costs from total revenues, according to generally accepted accounting principles (GAAP).

Output to Supply

The process of producing and providing goods or services to meet demand.