Question

An increase in the number of which of the following will lead to an increase in the unemployment rate? Discouraged workers A Business start-ups B Self-employed persons C Persons working 30 instead of 40 hours per week D Persons quitting part-time jobs to look for full-time ones

Answer 1

The answer is: D) Persons quitting part-time jobs to look for full-time ones

Step-by-step explanation:

In order for an individual to be considered unemployed, some requisites must be met:

• the individual is an adult, capable of working
• the individual is currently out of a job
• the individual is actively looking for a job

If individuals who have part time jobs (part time jobs are considered employment) quit to look for full time jobs. This is a type of frictional unemployment; when someone quits his job in order to search a better job.