Frictional unemployment is
a. not inevitable; rather, it can be reduced to zero by well-designed public policies.
b. not inevitable; rather, it could be reduced to zero if by the elimination of unemployment insurance.
c. inevitable, because at any given time, jobs are being created in some firms and destroyed in other firms.
d. inevitable, because in some industries, wages are always set above the level that brings supply and demand into equilibrium.
c
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If Dawson prefers pizza to hamburgers and hamburgers to hot dogs, then if preferences are transitive
A) she must prefer pizza to hot dogs. B) she could prefer hamburgers to pizza on some occasions but not hot dogs to pizza. C) she could prefer hot dogs to pizza on some occasions but not hamburgers to hot dogs. D) at times she could be indifferent among the three items.
Refer to Figure 28-9. A(n) ________ would be depicted as a movement from A to D to C
A) supply shock, such as rising oil prices, B) implementation of contractionary monetary policy C) increase in short-run aggregate supply D) increase in aggregate demand