Matilda Just Graduated from College

question 115

Multiple Choice

Matilda just graduated from college.In order to devote all her efforts to college,she didn't hold a job.She is going to tour around the country on her motorcycle for a month before she starts looking for work.Other things the same,the unemployment rate

• A)increases,and the labor-force participation rate decreases.
• B)and the labor-force participation rate both increase.
• C)increases,and the labor-force participation rate is unaffected.
• D)and the labor-force participation rate are both unaffected.

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Definitions:

Complements

Goods or services that are used together, where the use of one increases the value or demand for the other, like smartphones and data plans.

Substitutes

Goods or services that can be used in place of each other to satisfy consumer preferences or needs.

Substitute Product

A good or service that can be used in place of another to satisfy similar needs or desires.

Complements

Products or services that are used together, where the consumption or use of one increases the demand for the other.