Economics · Unemployment types
Which of the following statements correctly describes 'Disguised Unemployment'?
- 1When individuals actively search for jobs but are unable to find employment
- 2When more people are employed than necessary, making marginal productivity zero or negligible✓
- 3When workers voluntarily leave their jobs to seek better options
- 4When workers lose jobs due to economic recession
Correct answer
When more people are employed than necessary, making marginal productivity zero or negligible
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