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Frictional unemployment is

A) unemployment associated with declining industries.
B) long-term unemployment.
C) unemployment associated with business cycle recessions.
D) unemployment associated with the changing of jobs in a changing economy.

User B Johnson
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Final answer:

Frictional unemployment is related to the normal job turnover in a dynamic economy as individuals seek better job matches, and it's not inherently a bad thing.

Step-by-step explanation:

Frictional unemployment is D) unemployment associated with the changing of jobs in a changing economy. It occurs when workers move between jobs for various reasons, such as shifts in consumer tastes, the desire to find a better job match, or relocation for personal reasons. Frictional unemployment is not necessarily negative, as it allows for a better match between employers and potential employees, enhancing productivity and job satisfaction in the long term.

The level of frictional unemployment depends on factors like the ease of learning about job opportunities and the willingness to relocate for work, which can be influenced by communication technology and cultural factors. Frictional unemployment is a natural part of a dynamic economy and is different from structural or cyclical unemployment, which are related to changes in industry demand and economic cycles, respectively.

User Maran
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