When unemployment is high,
A) jobs are easy to find.
B) employers compete against many other employers for new workers.
C) workers compete against many other unemployed workers.
D) workers have an advantage in bargaining over wages.
E) workers can choose from a large number of available jobs.

Question

Quizplus · Accepted Answer

When unemployment is high, there are more workers competing for fewer job openings. This gives employers more bargaining power and reduces the bargaining power of workers. Therefore, the correct answer is C.

When Unemployment Is High