Frictional Unemployment Results from

question 57

Multiple Choice

Frictional unemployment results from

• A)job searching.It is often thought to explain relatively short spells of unemployment.
• B)job searching.It is often thought to explain relatively long spells of unemployment
• C)a surplus in the some labor markets.It is often thought to explain relatively short spells of unemployment.
• D)a surplus in some labor markets.It is often thought to explain relatively long spells of unemployment.

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Definitions:

Discount Rate

The rate of interest that central banks impose on credits extended to commercial banks and other financial entities.

Reserve Requirements

Regulations set by central banks determining the minimum amount of reserves that must be held by a commercial bank, a repeat of the Fed's specific requirement but applicable globally.

Depository Institutions Deregulation

The legislative measures taken to reduce regulation over banks and other depository institutions to enhance their ability to compete and innovate.

Monetary Control Act

A law intended to regulate banking and manage the money supply, possibly referring to specific legislation like the Monetary Control Act of 1980 in the United States, which influenced the Federal Reserve's control over monetary policy.