The unemployment rate at full employment is
A) the natural unemployment rate.
B) equal the amount of unemployment caused by job search.
C) zero.
D) equal to the rationed rate of unemployment.
E) undefined because the economy is never at full employment.
A
You might also like to view...
Economic theory is a necessity, not a luxury. This statement is true because theory
A. always leads to practical and useful policy. B. can prevent depressions in the economy. C. substitutes for vast amounts of data. D. provides a structure for organizing and analyzing data. E. always leads to accurate predictions.
Which of the following is a positive statement?
A) Taxes should be lower because then people get to keep more of what they earn. B) My economics class should last for two terms because it is my favorite class. C) A 10 percent increase in income leads to a 4 percent increase in the consumption of beef. D) Given their negative impact on productivity, the government should eliminate labor unions.
In the long run, the firms in a perfectly competitive market
A) maximize their profit. B) make an economic profit. C) display price setting behavior. D) are protected by barriers to entry.
Which of the following are used as nontariff barriers?
A) health and safety standards B) government procurement policies C) domestic content laws D) All of the above