Asked by harman sandhu on May 22, 2024
Verified
Full employment:
A) exists when,on average,nearly two out of three adults in the labor force are employed.
B) exists when everyone who wants a job has one.
C) exists when the unemployment rate is zero.
D) exists when everyone in the labor force has a job.
E) will always include some unemployment.
Full Employment
A situation in an economy where all available labor resources are being used in the most efficient way possible, typically characterized by the absence of cyclical unemployment.
Unemployment
The situation where individuals who are capable of working and actively seeking employment are unable to find a job.
Labor Force
The total number of people employed and those actively seeking employment in an economy.
- Understand the notion of full employment and its relevance in economics.
Verified Answer
KJ
Khadijah JenkinsMay 28, 2024
Final Answer :
E
Explanation :
Full employment does not mean zero unemployment; it acknowledges the presence of frictional and structural unemployment, indicating that even in a healthy economy, there will always be some level of unemployment as people transition between jobs or face mismatches in skills and job requirements.
Learning Objectives
- Understand the notion of full employment and its relevance in economics.