ECONOMICS (CBSE/UGC NET)

Detailed explanation-1: -Explanation: Cyclical and frictional unemployment are found in developed countries mainly. Cyclical unemployment rises during recessions and declines with economic growth.

Detailed explanation-2: -An unemployment rate of 5% is often considered full employment. This level of unemployment is enough to minimize inflation and allow workers to move between jobs, but those wanting full-time work should be able to find a full-time job (even if it is not their preferred occupation).

Detailed explanation-3: -Food, gasoline, clothing, and televisions are examples of final goods if used by households. Final goods can either be durable or non-durable. Food and gasoline are examples of non-durable goods because they are used up within three years.

Detailed explanation-4: -Which of the following is an example of the development of human capital? Conducting on-the-job training. Some economists argue that well-functioning capital markets that allow funds to move from those who have but do not need funds to those who need but do not have funds, are essential for rapid economic growth.