In what sense is frictional unemployment "good" for the economy?
What will be an ideal response?
Since frictional unemployment is the unemployment that exists so that workers and firms find the right matches, the economy needs some frictional unemployment to operate efficiently.
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Holding all other personal characteristics-such as age, gender, and income-constant, economists would expect that
A) people without health insurance will be more likely to be overweight than people with health insurance. B) there is no correlation between not having health insurance and being overweight. C) people without health insurance will be less likely to be overweight than people with health insurance. D) people without health insurance will be equally likely to be overweight as people with health insurance.
Open market operations involve
A) the buying and selling of existing corporate bonds. B) the buying and selling of existing corporate stocks. C) the buying and selling of existing federal government bonds. D) the buying and selling of Federal Reserve bonds.