An example of a policy that affects the level of unemployment is:

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All of these policies (minimum wage law, unemployment insurance, and at-will employment policies) can affect the level of unemployment. Minimum wage laws can increase the cost of labor which may result in employers hiring fewer workers. Unemployment insurance can provide a safety net for workers who have lost their jobs, which may reduce the urgency to find new employment. At-will employment policies give employers more flexibility in firing employees, which may result in more turnover and unemployment. As a result, all of these policies can impact the level of unemployment in different ways.

An Example of a Policy That Affects the Level of Unemployment