Question

Relative to Europe, the U.S. enacts better policies to make it easier for businesses in the U.S. to begin or to expand. As a result, the natural rate of unemployment in _____________ is likely to be lower than the natural rate of unemployment in ________________. Select the correct answer below: Europe; the U.S. the U.S; Europe both the U.S. and Europe; the rest of the world the world in general; the U.S.

Answer 1

Answer:the U.S; Europe

Explanation: What Is Natural Unemployment?

It is the number of unemployed individuals due to employees voluntarily leaving their jobs or forced by the economical issues. It occurs due to technology taking over such that human skills become unnecessary or because of the lack of skills needed in the market.

When business expand more opportunities become available , giving plenty of people opportunity to make living and hire more employees.

Answer 2

Answer: The US; Europe

Explanation: The US is known world over as the seat of capitalism. As such they have been recognized to have policies that encourages the startup and growth and expansion of businesses and organizations. This creates more jobs, driving natural employment rates to never before seen levels. Compared to Europe with stricter policies, taxations, and so on, fewer jobs exist and even less companies start up. It is therefore observable that the natural rate of unemployment is higher in Europe than in the US.