Author Question: Why is unemployment a problem? What will be an ideal response?[br][br][b][color=#151B54]Question ... (Read 48 times)

LaDunn · **on:** Jun 29, 2018

Why is unemployment a problem?

What will be an ideal response?

Question 2

In perfect competition, a firm that maximizes its economic profit will sell its good at a price that is

A) below the market price.
B) at the market price.
C) above the market price.
D) below the market price if its supply curve is inelastic and above the market price if its supply curve is elastic.

jennafosdick · **Reply #1 on:** Jun 29, 2018

Answer to Question 1

Unemployment is a problem for both the nation and for the unemployed worker. For the nation, unemployment represents lost production and lost incomes. The lost income is also a major problem for the unemployed worker. In the long run, the worker also suffers a loss of human capital which can permanently damage the worker's future job prospects.

Answer to Question 2

B