Labor adjustment costs lead to:

Question

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Labor adjustment costs refer to the costs associated with workers switching from one job to another. These costs can include search costs (e.g., time spent looking for a new job), relocation costs (e.g., moving to a new city), and training costs (e.g., learning new skills). These costs make it more difficult and expensive for workers to switch jobs, which can lead to higher unemployment as workers are less able to respond quickly to changes in the labor market.

Labor Adjustment Costs Lead To