When Job Search Is the Explanation for Unemployment, Workers Are

question 71

True/False

When job search is the explanation for unemployment, workers are searching for the jobs that best suit their tastes and skills, but when the wage is above the equilibrium level, the quantity of labor supplied exceeds the quantity of labor demanded, and workers are unemployed because they are waiting for jobs to open up.

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Definitions:

Straight-Line Depreciation

A technique for determining an asset's depreciation, presuming that the asset will depreciate by a consistent value annually throughout its projected useful life.

Incremental Sales

The additional revenue generated from a particular business action or decision, beyond existing sales.

Straight-Line Depreciation

A process for dividing the cost of an asset equally over the duration of its usability.

After-Tax Discount Rate

This rate is used to discount future cash flows to their present value, considering the effect of taxes.