Consider whether each of the following events would increase, decrease, or cause no change in frictional unemployment.
a. Rapid innovation in the tech sector means that tech companies are constantly changing the skills they require to develop, manage, and service new products.
b. Unemployment insurance programs become less generous.
c. LinkedIn improves its algorithms, enabling it to connect employers with workers who have the experience and skills they need more efficiently.
1. Increases frictional unemployment
2. Decreases frictional unemployment
3. Does not change frictional unemployment