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Author Question: Refer to Figure 3-1. An increase in population would be represented by a movement from A) A to B. ... (Read 157 times)

Tirant22

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on: Jun 29, 2018
Refer to Figure 3-1. An increase in population would be represented by a movement from
 
  A) A to B. B) B to A. C) D1 to D2. D) D2 to D1.

Question 2

Why might it be inefficient for the labor market not to have some form of unemployment compensation?
 
  What will be an ideal response?


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Jossy

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Reply #1 on: Jun 29, 2018
Answer to Question 1

C

Answer to Question 2

Some form of unemployment compensation lowers the opportunity cost of looking for work. Without any compensation whatsoever workers might be tempted to terminate their job search much more quickly and accept jobs that are well below their productivity because of the urgent need to earn money just to get by to pay for food and other necessities.


Tirant22

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Reply 2 on: Jun 29, 2018
Thanks for the timely response, appreciate it

ktidd

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Reply 3 on: Yesterday
Excellent

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