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- Subject
- Labour Marketeconomics-mcqs › labour-market
- Published
- 1 Jun 2019
- Last updated
- 28 May 2026
Why is some level of frictional unemployment unavoidable?
Multiple choice question for Labour Market. Select an option, then review the explanation below.
Explanation
Frictional unemployment occurs because the demand for labor varies between different firms over time, causing workers to transition between jobs. This natural labor market dynamic makes some frictional unemployment inevitable.
More Labour Market MCQs
Practice related questions from the same subject.
- 1.How do unions typically contribute to widening the wage gap between union members and non-union workers?
- 2.Under which circumstance can unions enhance efficiency?
- 3.Which of the following reasons explains why companies might choose to pay efficiency wages?
- 4.Which of the following government actions is least likely to decrease the unemployment rate?
- 5.What happens if the wage rate is set above the competitive equilibrium wage for any reason?