Some frictional unemployment is inevitable because
A)of minimum wage laws.
B)there are changes in the demand for labour among different firms.
C)of unions.
D)All of these answers.
E)efficiency wages may hold the wage above the equilibrium wage.

Question

Quizplus · Accepted Answer

Frictional unemployment occurs due to temporary changes in the demand for labor among different firms. This type of unemployment is unavoidable as it may take some time for workers to find the most suitable job matches. Minimum wage laws, unions, and efficiency wages can also contribute to unemployment, but they are not the primary causes of frictional unemployment.

Some Frictional Unemployment Is Inevitable Because