More labor regulations are likely to raise structural unemployment.

Question

Quizplus · Accepted Answer

Labor regulations can increase the cost of hiring and make it more difficult for companies to adjust to changing market conditions. This can result in higher levels of structural unemployment, as workers may not have the skills or qualifications needed for the available jobs. Additionally, regulations that mandate certain working conditions or benefits may make it more expensive for employers to hire and retain workers, leading to higher unemployment.

More Labor Regulations Are Likely to Raise Structural Unemployment