Question 1

What was the purpose of Canada's Public Service Staff Relations Act of 1967?

Accepted Answer

A)  to enforce antitrust laws against unions in federal institutions 
B)  to allow federal public service employees the right to representation and collective bargaining 
C)  to allow federal and provincial public service employees the right to representation and collective bargaining 
D)  to require that all collective bargaining agreements be approved by the federal government before they can be enforced 
A)  to enforce antitrust laws against unions in federal institutions 
B)  to allow federal public service employees the right to representation and collective bargaining 
C)  to allow federal and provincial public service employees the right to representation and collective bargaining 
D)  to require that all collective bargaining agreements be approved by the federal government before they can be enforced

Question 2

(Challenging) Draw a firm's labour demand curve that intersects the vertical axis at $20 per hour, and choose a point on the curve corresponding to an hourly wage of $12 and employment of 50 workers.
a. Explain the significance of the labour demand curve, and show why such a curve is downward sloping.
b. At the employment level of 50 workers, what is the total amount the employer pays in wages?
c. At the employment level of 50 workers, what is the firm's profit? (Hint: At each level of employment, the labour demand curve shows the additional value of production created by hiring an extra worker.)

Accepted Answer

a. When the market wage is high compared

Question 3

Consider two people who are currently out of work. Bernie is not looking for work because there have been many job cuts where he lives and he doesn't think it likely that he will find work. Bev is not currently looking for work, but she would like a job. While she hasn't looked for work for some time, she has looked for work in the past. How does Statistics Canada consider Bernie and Bev?

Accepted Answer

A)  Statistics Canada considers both Bernie and Bev to be discouraged searchers. 
B)  Statistics Canada considers neither Bernie nor Bev to be discouraged searchers. 
C)  Statistics Canada considers only Bernie to be a discouraged searcher. 
D)  Statistics Canada considers only Bev to be a discouraged searcher. 
A)  Statistics Canada considers both Bernie and Bev to be discouraged searchers. 
B)  Statistics Canada considers neither Bernie nor Bev to be discouraged searchers. 
C)  Statistics Canada considers only Bernie to be a discouraged searcher. 
D)  Statistics Canada considers only Bev to be a discouraged searcher.

Question 4

Fill in the blank entries in the table. All values are in millions, except for percentages.

Accepted Answer

The following formulas should be applied

Question 5

Since 1951, what has happened to the labour-force participation rate of men and women?

Accepted Answer

A)  It has increased for both men and women. 
B)  It has increased for men and decreased for women. 
C)  It has decreased for men and increased for women. 
D)  It has decreased for both men and women. 
A)  It has increased for both men and women. 
B)  It has increased for men and decreased for women. 
C)  It has decreased for men and increased for women. 
D)  It has decreased for both men and women.

Question 6

What is the approximate labour-force participation rate of the Canadian adult population (aged 15 and over)?

Accepted Answer

A)  47 percent 
B)  55 percent 
C)  66 percent 
D)  75 percent 
A)  47 percent 
B)  55 percent 
C)  66 percent 
D)  75 percent

Question 7

-Refer to Table 9-1. What is the adult labour force in Bolivar?

Accepted Answer

A)  150 million 
B)  160 million 
C)  230 million 
D)  240 million 
A)  150 million 
B)  160 million 
C)  230 million 
D)  240 million

Question 8

Rick loses his job and immediately begins looking for another. Other things equal, what happens to the unemployment rate?

Accepted Answer

A)  The unemployment rate decreases because he is not in the labour force anymore. 
B)  The unemployment rate increases because he is still in the labour force. 
C)  The unemployment rate decreases because he is still in the labour force. 
D)  The unemployment rate increases because he is not in the labour force anymore. 
A)  The unemployment rate decreases because he is not in the labour force anymore. 
B)  The unemployment rate increases because he is still in the labour force. 
C)  The unemployment rate decreases because he is still in the labour force. 
D)  The unemployment rate increases because he is not in the labour force anymore.

Question 9

A government agency provides labour data as presented in the table below. Based on this data, answer the following questions.in thousands
 
a. What is the labour force?
b. What is the participation rate?
c. What is the unemployment rate?
d. What is the employment rate?

Accepted Answer

a. Labour force = Unemployed + Employed

Question 10

Who would NOT be included in the labour force?

Accepted Answer

A)  Krista, who works most of the week in a distribution centre 
B)  Beth, who is waiting for her new job at the hostel to start 
C)  Dave, who does not have a job, but is looking for work 
D)  Holly, who, instead of being paid, cares for children in exchange for room and board 
A)  Krista, who works most of the week in a distribution centre 
B)  Beth, who is waiting for her new job at the hostel to start 
C)  Dave, who does not have a job, but is looking for work 
D)  Holly, who, instead of being paid, cares for children in exchange for room and board

Question 11

Which country has the lowest percentage of unionized workers?

Accepted Answer

A)  United States 
B)  Canada 
C)  Sweden 
D)  Denmark 
A)  United States 
B)  Canada 
C)  Sweden 
D)  Denmark

Question 12

Figure 9-2  
-Refer to Figure 9-2. If the minimum wage is $5 or $6, what is the number of people unemployed, respectively?

Accepted Answer

A)  40 and 0 
B)  20 and 20 
C)  40 and 20 
D)  0 and 0 
A)  40 and 0 
B)  20 and 20 
C)  40 and 20 
D)  0 and 0

Question 13

-Refer to Table 9-1. What is the adult male unemployment rate in Bolivar?

Accepted Answer

A)  3.84 percent 
B)  5.56 percent 
C)  5.88 percent 
D)  10.00 percent 
A)  3.84 percent 
B)  5.56 percent 
C)  5.88 percent 
D)  10.00 percent

Question 14

What is most likely to cause frictional unemployment?

Accepted Answer

A)  workers leaving the labour force 
B)  an economy in recession 
C)  an increase in population 
D)  changes in the composition of demand among industries or regions 
A)  workers leaving the labour force 
B)  an economy in recession 
C)  an increase in population 
D)  changes in the composition of demand among industries or regions

Question 15

Why was net employment growth in 2009 negative?

Accepted Answer

A)  Job creation exceeded job destruction that year. 
B)  The economy had previously been in a recession but was now in recovery 
C)  Job destruction exceeded job creation that year. 
D)  Employees were in the process of moving from failing to growing firms. 
A)  Job creation exceeded job destruction that year. 
B)  The economy had previously been in a recession but was now in recovery 
C)  Job destruction exceeded job creation that year. 
D)  Employees were in the process of moving from failing to growing firms.

Question 16

Who would be counted as unemployed according to official statistics?

Accepted Answer

A)  Javier, who is currently not working and is waiting for his new job to start 
B)  Julia, who worked only 10 hours last week 
C)  Shep, who has just graduated from university and is taking a year off to volunteer abroad 
D)  Roseanne, who has retired and is not looking for work 
A)  Javier, who is currently not working and is waiting for his new job to start 
B)  Julia, who worked only 10 hours last week 
C)  Shep, who has just graduated from university and is taking a year off to volunteer abroad 
D)  Roseanne, who has retired and is not looking for work

Question 17

-Refer to Table 9-1. What is the adult female unemployment rate in Bolivar?

Accepted Answer

A)  4.76 percent 
B)  5.00 percent 
C)  7.14 percent 
D)  8.33 percent 
A)  4.76 percent 
B)  5.00 percent 
C)  7.14 percent 
D)  8.33 percent

Question 18

Which condition causes structural unemployment?

Accepted Answer

A)  Wages are kept above the equilibrium level. 
B)  People choose not to work at the equilibrium wage. 
C)  Some wages are below the equilibrium level. 
D)  Conditions for unemployment insurance benefits relax. 
A)  Wages are kept above the equilibrium level. 
B)  People choose not to work at the equilibrium wage. 
C)  Some wages are below the equilibrium level. 
D)  Conditions for unemployment insurance benefits relax.

Question 19

Figure 9-2  
-Refer to Figure 9-2. If the minimum wage fell from $7 to $5, what would happen to unemployment?

Accepted Answer

A)  It would fall by 20. 
B)  It would fall by 40. 
C)  It would be unchanged. 
D)  It would rise by 20. 
A)  It would fall by 20. 
B)  It would fall by 40. 
C)  It would be unchanged. 
D)  It would rise by 20.

Question 20

Who would be included in the labour force?

Accepted Answer

A)  Jeremiah, who plans to travel for a few months before looking for work 
B)  Kaylin, a full-time student not looking for work 
C)  Caroline, who does not have a job but is looking for work 
D)  Rebecca, who has interrupted her career to raise her two children 
A)  Jeremiah, who plans to travel for a few months before looking for work 
B)  Kaylin, a full-time student not looking for work 
C)  Caroline, who does not have a job but is looking for work 
D)  Rebecca, who has interrupted her career to raise her two children

What was the purpose of Canada's Public Service Staff Relations Act of 1967?

Fill in the blank entries in the table. All values are in millions, except for percentages.

Since 1951, what has happened to the labour-force participation rate of men and women?

What is the approximate labour-force participation rate of the Canadian adult population (aged 15 and over)?

-Refer to Table 9-1. What is the adult labour force in Bolivar?

Rick loses his job and immediately begins looking for another. Other things equal, what happens to the unemployment rate?

A government agency provides labour data as presented in the table below. Based on this data, answer the following questions.in thousands a. What is the labour force? b. What is the participation rate? c. What is the unemployment rate? d. What is the employment rate?

Who would NOT be included in the labour force?

Which country has the lowest percentage of unionized workers?

Figure 9-2 -Refer to Figure 9-2. If the minimum wage is $5 or $6, what is the number of people unemployed, respectively?

-Refer to Table 9-1. What is the adult male unemployment rate in Bolivar?

What is most likely to cause frictional unemployment?

Why was net employment growth in 2009 negative?

Who would be counted as unemployed according to official statistics?

-Refer to Table 9-1. What is the adult female unemployment rate in Bolivar?

Which condition causes structural unemployment?

Figure 9-2 -Refer to Figure 9-2. If the minimum wage fell from $7 to $5, what would happen to unemployment?

Who would be included in the labour force?

Ten Principles of Economics

Thinking Like an Economist

Interdependence and the Gains From Trade

The Market Forces of Supply and Demand

Measuring a Nations Income

Measuring the Cost of Living

Production and Growth

Saving, Investment, and the Financial System

The Monetary System

Money Growth and Inflation

Open-Economy Macroeconomics: Basic Concepts

A Macroeconomic Theory of the Small Open Economy

Aggregate Demand and Aggregate Supply

The Influence of Monetary Policy on Aggregate Demand

The Influence of Fiscal Policy on Aggregate Demand

The Short-Run Tradeoff Between Inflation and Unemployment

Five Debates Over Macroeconomic Policy

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Exam 9: Unemployment and Its Natural Rate

What was the purpose of Canada's Public Service Staff Relations Act of 1967?

Fill in the blank entries in the table. All values are in millions, except for percentages.

Since 1951, what has happened to the labour-force participation rate of men and women?

What is the approximate labour-force participation rate of the Canadian adult population (aged 15 and over)?

-Refer to Table 9-1. What is the adult labour force in Bolivar?

Rick loses his job and immediately begins looking for another. Other things equal, what happens to the unemployment rate?

A government agency provides labour data as presented in the table below. Based on this data, answer the following questions.in thousands a. What is the labour force? b. What is the participation rate? c. What is the unemployment rate? d. What is the employment rate?

Who would NOT be included in the labour force?

Which country has the lowest percentage of unionized workers?

Figure 9-2 -Refer to Figure 9-2. If the minimum wage is $5 or $6, what is the number of people unemployed, respectively?

-Refer to Table 9-1. What is the adult male unemployment rate in Bolivar?

What is most likely to cause frictional unemployment?

Why was net employment growth in 2009 negative?

Who would be counted as unemployed according to official statistics?

-Refer to Table 9-1. What is the adult female unemployment rate in Bolivar?

Which condition causes structural unemployment?

Figure 9-2 -Refer to Figure 9-2. If the minimum wage fell from $7 to $5, what would happen to unemployment?

Who would be included in the labour force?

Ten Principles of Economics

Thinking Like an Economist

Interdependence and the Gains From Trade

The Market Forces of Supply and Demand

Measuring a Nations Income

Measuring the Cost of Living

Production and Growth

Saving, Investment, and the Financial System

The Monetary System

Money Growth and Inflation

Open-Economy Macroeconomics: Basic Concepts

A Macroeconomic Theory of the Small Open Economy

Aggregate Demand and Aggregate Supply

The Influence of Monetary Policy on Aggregate Demand

The Influence of Fiscal Policy on Aggregate Demand

The Short-Run Tradeoff Between Inflation and Unemployment

Five Debates Over Macroeconomic Policy

Filters