Cyclical unemployment arises when
A) unskilled or low-skilled workers find it difficult to obtain desirable, long-term jobs.
B) labor must be reallocated from industries that are shrinking to areas that are growing.
C) workers must search for suitable jobs and firms must search for suitable workers.
D) output and employment are below full-employment levels.
D
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Which of the following sources of revenue is used to fund government spending?
A) political party contributions B) interest C) taxation D) corporate contributions
In deciding where to operate along its production possibilities frontier, a society is answering the question of
a. which goods and services should be produced with its scarce resources b. what production methods should be used to produce goods and services c. how will output be allocated among the individuals in the society d. what prices will be charged for goods and services e. how much will it trade with other societies in the world
For a good that is a necessity, demand
a. tends to be inelastic. b. tends to be elastic. c. has unit elasticity. d. cannot be represented by a demand curve in the usual way.
In a representative labor market,
a. the wage adjusts to balance the supply and demand for labor. b. the wage equals the value of the marginal product of labor. c. an increase in the supply of labor increases the equilibrium wage. d. Both a and b are correct.