If the number of job vacancies in an economy is equal to the number of people unemployed,then cyclical unemployment is zero.

Question

Quizplus · Accepted Answer

If the number of job vacancies in an economy is equal to the number of unemployed people, then everyone who wants a job can find one. This means that there is no cyclical unemployment, which is the type of unemployment that occurs when there is a decline in economic activity or a recession. Other types of unemployment, such as frictional and structural unemployment, may still exist.

If the Number of Job Vacancies in an Economy Is