Unemployment insurance
A)and unions both create structural unemployment.
B)and unions both create frictional unemployment.
C)creates frictional unemployment and unions create structural unemployment.
D)creates structural unemployment and unions create frictional unemployment.

Question

Quizplus · Accepted Answer

Unemployment insurance can lead to frictional unemployment by providing temporary financial support, allowing individuals to search for jobs that better match their skills. Unions can create structural unemployment by negotiating higher wages than the market equilibrium, potentially leading to fewer jobs available.

Unemployment Insurance