When an economy is producing at its potential level of output:
A. cyclical unemployment is not occurring.
B. frictional unemployment is not occurring.
C. structural unemployment is not occurring.
D. there is no unemployment.
Answer: A
You might also like to view...
Explain why in cities such as New York City that have rent ceiling laws, so many people who work in the city commute from outside the city
What will be an ideal response?
In the economic way of thinking, the identification of wealth with material objects
A) is at the foundation of modern capitalism. B) is good economics but antithetical to religious precepts. C) is usually rejected by socialists. D) must be rejected because it makes no sense.
When government provides a good with an external benefit, to attain efficiency the price paid by consumers is set equal to the
A) marginal private benefit at the efficient level of output. B) marginal private cost at the efficient level of output. C) amount paid by taxpayers. D) market-determined price. E) marginal external benefit at the efficient level of output.
How many dollars would it cost to buy an Edinburgh Woolen Mill sweater costing 50 British pounds if the exchange rate is 1.80 dollars per one British pound?
A) 40 dollars B) 90 dollars C) 50 dollars D) 100 dollars E) 95 dollars