Which is the best example of frictional unemployment?
A.
a plumber’s contract with an apartment building ending
B.
college graduates looking for their first jobs after their internships
C.
workers being laid off during a period of recession
D.
a company moving to another state, leaving its workforce without jobs
B. College graduates looking for their first jobs after their internships is the best example of frictional unemployment. Frictional unemployment occurs when individuals are between jobs or when they are searching for their first job in the labor market. In this case, college graduates who have completed their internships are actively seeking full-time employment, therefore experiencing frictional unemployment.
The best example of frictional unemployment is option B - college graduates looking for their first jobs after their internships.
Frictional unemployment refers to the temporary period of unemployment that occurs when individuals are transitioning between jobs or entering the workforce for the first time. In this case, college graduates are actively searching for employment opportunities after completing their internships.
To determine the best example of frictional unemployment, we need to understand the concept and then evaluate each option. Frictional unemployment typically occurs due to factors such as individuals voluntarily leaving their jobs, recent graduates searching for their first jobs, or people reentering the job market after a period of absence.
Option A, a plumber's contract with an apartment building ending, doesn't necessarily represent frictional unemployment as it could be due to contractual arrangements or seasonal work that is typical in certain industries.
Option C, workers being laid off during a period of recession, represents cyclical unemployment rather than frictional unemployment. Cyclical unemployment occurs due to economic downturns.
Option D, a company moving to another state, leaving its workforce without jobs, mainly represents structural unemployment. Structural unemployment arises from changes in the structure of the economy, such as technological advancements or shifts in industry.
In conclusion, option B - college graduates looking for their first jobs after their internships - is the best example of frictional unemployment because it aligns with the concept of individuals actively seeking employment during the transition period.
The best example of frictional unemployment is:
B. College graduates looking for their first jobs after their internships.
Frictional unemployment occurs when individuals are temporarily unemployed as they transition between jobs or enter the workforce for the first time. College graduates seeking their first jobs after completing their internships are a clear example of this type of unemployment.