Final answer:
Improving job search information is key to reducing frictional unemployment by facilitating better communication about job prospects. Option c.
Step-by-step explanation:
Frictional unemployment occurs when there is a temporary gap between jobs as workers move between positions or search for new employment. To reduce the level of frictional unemployment, policies and resources should be aimed at improving the job search process and enabling workers to connect with new opportunities more effectively.
Among the options provided, improving job search information would be the most effective in reducing frictional unemployment. This strategy can help make it easier for workers to learn about alternative jobs, reflecting the ease of communications about job prospects in the economy.
Moreover, improving information alone might not be sufficient if workers are not also mobile or if they lack the necessary skills for the available jobs. Hence, improving mobility and offering retraining programs are additional steps that can assist in reducing frictional unemployment.
Redesigning business rules so as not to unintentionally discourage hiring and building institutions that facilitate the flow of job information and enhance worker mobility are essential to reduce frictional unemployment.
Additionally, policy can support workers whose skills are no longer in demand, known as structural unemployment, by offering opportunities for retraining allowing them to re-enter the labor force in new roles. Option c.