An unemployment rate of zero percent cannot be expected because
A) some portion of the labor force will always be between jobs.
B) cyclical unemployment will always exist.
C) there will always be discouraged workers.
D) there are some people who do not want to work.

Question

Quizplus · Accepted Answer

Some portion of the labor force will always be between jobs, even in a healthy economy. This is known as frictional unemployment, and it occurs when workers are in the process of searching for new jobs or transitioning between positions. Therefore, an unemployment rate of zero percent cannot be expected.

An Unemployment Rate of Zero Percent Cannot Be Expected Because