How unemployment insurance subsidizes certain types of jobs


There are some subsidy features to unemployment insurance, primarily for jobs that are unattractive or that offer seasonal or unstable employment. Without this subsidy, paid mainly by the government, many unskilled jobs would go begging.

A: Explain how unemployment insurance subsidizes certain kinds of jobs.

B: What do you think would happen to wages paid for these jobs if unemployment insurance ceased to exit?

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Microeconomics: How unemployment insurance subsidizes certain types of jobs
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