Fred lost his factory job, replaced by welding robots. He is now going to technical school to learn computer repair because he cannot find a similar job to the one he lost. Fred is:
a. Frictionally unemployed.
b. Structurally unemployed.
c. Cyclically unemployed

If a competitive price-taking firm is operating in long-run equilibrium and market demand suddenly falls, the short-run result will be

a. greater economic profit. b. a normal profit. c. lower average total cost. d. lower average variable cost. e. economic losses.

Which statement best defines efficiency?

a. when it becomes possible to benefit at least one party without imposing costs on others b. when it is impossible to improve the situation of one party without imposing a cost on another c. the amount that a seller is paid for a good minus the seller’s actual cost d. the amount that individuals would have been willing to pay, minus the amount that they actually paid