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:

Regulatory Capture Effect

A situation where regulatory agencies are dominated by the industries or interests they are charged with regulating, leading to favorable policies for the regulated entities.

Principal-Agent Problem

A situation in which there is a conflict of interest between a principal (such as an owner) and an agent (such as a manager), because the agent may not act in the best interest of the principal.

Negative Externalities

Costs suffered by a third party as a result of an economic transaction they were not involved in, such as pollution.

Unethical And Illegal Behavior

Actions that are morally wrong and prohibited by law, ranging from fraud and corruption to violations of human rights.