Frictional unemployment could be reduced by decreasing the minimum wagE.

Question

Quizplus · Accepted Answer

Frictional unemployment refers to the temporary unemployment that results from the time and effort it takes workers to search for a new job that is best suited for their skills and preferences. Lowering the minimum wage would not have a significant impact on frictional unemployment as it does not have to do with workers being paid too much, but rather with the process of finding the right job fit. Additionally, lowering the minimum wage may actually increase the number of individuals seeking employment, leading to an increase in frictional unemployment.

Frictional Unemployment Could Be Reduced by Decreasing the Minimum WagE