Under a flexible exchange rate system, exchange rates are determined by free markets

Frictional unemployment always exists because

A) some workers quit their jobs without having another job already lined up. B) the government has never instituted full employment policies. C) workers are lazy and refuse to accept certain jobs. D) recessions are necessary sometimes to keep the economy healthy.

Undervaluing of opportunity cost sometimes occurs because:

A. opportunity cost is just theoretical. B. the benefit is difficult to visualize. C. the opportunity cost is easy to visualize. D. the opportunity cost is hard to visualize.