Which of the Following Is Correct

question 14

Multiple Choice

Which of the following is correct?

• A)Unemployment insurance raises structural unemployment because it reduces the job search efforts of the unemployed.
• B)Most economists are skeptical of the value of unemployment insurance primarily because they believe that it results in a poorer match between workers and jobs.
• C)Studies show that when the unemployed become ineligible for benefits,the probability of their finding a job rises markedly.
• D)All of the above are correct.

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Definitions:

Bank Loan

A sum of money lent by a bank to a borrower for a set period at an agreed interest rate.

Interest Expense

The cost incurred by an entity for borrowed funds over a period of time.

Interest Payable

A liability account representing the amount of interest expense that has been incurred but not yet paid.

Accrued Expense

Expenses that have been incurred but not yet paid or recorded in the financial statements, reflecting obligations that a business has taken on.