When the economy does NOT generate enough jobs to employ all those who are willing to work,what can we conclude?
A)The economy must be experiencing a recession.
B)Unemployment insurance and other social welfare programs prevent society from incurring any significant economic costs as a result.
C)Potential goods and services that might have been enjoyed by consumers are lost.
D)The economy must be operating at the full employment level of output.

Question

Quizplus · Accepted Answer

When there is an insufficient number of jobs, it leads to unemployment, which means potential goods and services that could have been produced and consumed are lost. This results in a decrease in economic growth, which is why it is a matter of concern for the government and the society as a whole.

When the Economy Does NOT Generate Enough Jobs to Employ