One reason for unemployment is that:
A) it takes time to match workers and jobs.
B) all jobs are identical.
C) the labor market is always in equilibrium.
D) a laid-off worker can immediately find a new job at the market wage.

Question

Quizplus · Accepted Answer

Unemployment exists because there is a time lag between when a worker loses a job and when they find a new one. It takes time for job seekers to find job openings, submit resumes, go through interviews, and possibly receive training. Additionally, employers also require time to search for qualified job candidates and complete the hiring process. This frictional unemployment is a natural part of a dynamic economy and helps to match the right workers with the right job opportunities.

One Reason for Unemployment Is That