According to the Text,economists Consider Full Employment to Occur When

question 32

Multiple Choice

According to the text,economists consider full employment to occur when

• A)everyone who wants a job has a job.
• B)frictional unemployment equals zero.
• C)the sum of frictional unemployment and structural unemployment equals zero.
• D)the unemployment rate consists of only frictional and structural unemployment.

---

Definitions:

Long Run

A period in which all factors of production and costs are variable, allowing firms to adjust all inputs as needed.

Perfectly Elastic

A demand situation where the quantity demanded changes infinitely in response to any change in price.

Equilibrium Quantity

The quantity of goods or services supplied and demanded at the equilibrium price, where demand and supply are equal.

Equilibrium Price

The price at which the quantity of a product offered is equal to the quantity of the product in demand.