Multiple Choice
In equilibrium, an decrease in matching efficiency
A) increases the unemployment rate and vacancies are constant.
B) increases the unemployment rate and vacancies increase.
C) decreases the unemployment rate and vacancies are constant.
D) decreases the unemployment rate and vacancies increase.
E) increases the unemployment rate and vacancies decrease.
Correct Answer:
Verified
Correct Answer:
Verified
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Q5: In the one-sided search model, an increase
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Q7: Constant returns to scale in the
Q8: Which of the following best describes mismatch
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Q13: In equilibrium, an increase in Employment Insurance
Q14: Labour market tightness in the two-sided search