Question

Jacob and Julie are both unemployed and are searching for work. Jacob is taking his time on his search because of his unemployment insurance. Julie is looking for work in a paper mill. Every time Julie shows up for an interview, there are more people looking for work than there are openings. She realizes that it has been that way for a long time.
A. Jacob and Julie are both structurally unemployed.
B. Jacob is frictionally unemployed, and Julie is structurally unemployed.
C. Jacob and Julie are both frictionally unemployed.
D. Jacob is structurally unemployed, and Julie is frictionally unemployed.

Answer 1

Based on the given scenario, we can say that:

• B. Jacob is frictionally unemployed, and Julie is structurally unemployed

What is Frictional Unemployment?

This refers to the type of unemployment where a person intentionally leaves a job in search of another.

With this in mind, we can see that Jacob left his job to look for another one and has unemployment insurance while Julie is actively jobless and looking for jobs but not getting any so Jacob is frictionally unemployed, and Julie is structurally unemployed

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