Question

Although not a goal of the unemployment insurance system, one effect is that the system reduces _________.

a. the rate of job finding.
b. frictional unemployment.
c. workers' uncertainty about their incomes.
d. the rate of job separation.

Answer 1

a. the rate of job finding.

Step-by-step explanation:

The unemployment insurance system is a program managed by the federal and state governments to provide unemployment benefits to individuals who are unemployed and meet certain eligibility criteria.

Although not a goal of the unemployment insurance system, one effect is that the system reduces the rate of job finding.

However, the main goal of the unemployment insurance system is to reduce workers' uncertainty about their incomes.