1. If workers do not have the skills that are required in the job market, which of the following will occur?
a. Structural unemployment.
b. Seasonal unemployment.
c. Cyclical unemployment.
d. Frictional unemployment.
2. When the economy is below full employment, it is producing
a. On the production possibilities curve.
b. Beyond the production possibilities curve.
c. Inside the production possibilities curve.
d. None of the choices are correct.
3. How has the unemployment components of the natural rate of unemployment changed over the past 20 years?
a. Frictional unemployment has increased and structural unemployment has increased.
b. Frictional unemployment has decreased and structural unemployment has decreased.
c. Frictional unemployment has decreased and structural unemployment has increased.
d. Frictional unemployment has increased and structural unemployment has decreased