During the course of a year, the labor force consists of the same 1,000 people. Employers have
Question:
a. What is the frictional unemployment rate?
b. What is the unemployment rate?
c. Suppose that a system of unemployment compensation is established. Each month, 30 new people (not including the 20 that employers have chosen not to employ) continue to become unemployed, but each monthly group of newly unemployed now takes two months to find a job. After this change, what is the frictional unemployment rate?
d. After the change discussed in part (c), what is the unemployment rate?
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Related Book For
Question Posted: