If part of the labor force is unemployed, the foregone goods and services are
A)lost until the unemployed find jobs.
B)are replaced by unemployment insurance.
C)are lost forever.
D)are replaced by an equal amount of imports.

Question

Quizplus · Accepted Answer

When part of the labor force is unemployed, the potential goods and services that could have been produced by those workers are lost forever, as the opportunity to produce them during that time period is gone.

If Part of the Labor Force Is Unemployed, the Foregone