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Which of the Following Is Thought to Be the Primary

Question 2

Multiple Choice

Which of the following is thought to be the primary reason for the existence of the unemployment rate gap between the United States and Canada?


A) There has been a relative increase among Canadians in the fraction of non-working time spent searching for work relative to Americans.
B) There is a longer duration of unemployment in Canada relative to the U.S.
C) The aggregate demand conditions tend to be more favourable in the U.S.
D) The labour force in Canada has a higher concentration of demographic groups that tend to exhibit higher rates of unemployment.
E) Wages are higher in Canada, which reduces the quantity demanded for labour.

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