Question

Jenna is searching for a job that suits her tastes about where to live. Mary is looking for a job that makes best use of her skills.
a. Jenna and Mary are both frictionally unemployed.
b. Jenna and Mary are both structurally unemployed.
c. Jenna is frictionally unemployed, and Mary is structurally unemployed.
d. Jenna is structurally unemployed, and Mary is frictionally unemployed.

Answer 1

Answer:

a. Jenna and Mary are both frictionally unemployed.

Explanation:

Frictional unemployment is short-term in nature and arises as workers search for their first jobs or are moving between jobs.  An example of frictional unemployment is a fresh graduate searching for their first employment. Frictional unemployment is the natural unemployment in the economy. It is caused by factors that lead to economic under-performance.

Shifts in the economy cause structural unemployment. It occurs when the skills available are not suited for the current job openings. Jenna and Mary have not been affected by changes in the economy.  Their unemployment is natural and temporally.