Consider the market-clearing theory of the labour market.Empirical observation of employment and real-wage fluctuations over the business cycle in Canada and other developed countries
A) is not able to refute the market-clearing theory of unemployment.
B) refutes the theory because employment is volatile and real wages are not.
C) refutes the theory because real wages are volatile and employment levels are not.
D) supports the market-clearing theory that there is no involuntary unemployment.
E) supports the market-clearing theory that labour markets always clear.
Correct Answer:
Verified
Q16: One reason that economists are interested in
Q17: The total amount of unemployment in the
Q18: The total amount of unemployment in the
Q19: One reason that economists are interested in
Q20: If the actual unemployment rate is equal
Q22: If,as market-clearing theories of the labour market
Q23: Market-clearing theories of the labour market suggest
Q24: The table below provides hypothetical unemployment,employment,and labour
Q25: Which of the following describes what economists
Q26: The table below provides hypothetical unemployment,employment,and labour
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