Question 1

Which of the following best defines the labour force?

Accepted Answer

A)  the number of employed 
B)  the population minus the number of unemployed 
C)  the population aged 15 or over 
D)  the number of unemployed plus the number of employed 
A)  the number of employed 
B)  the population minus the number of unemployed 
C)  the population aged 15 or over 
D)  the number of unemployed plus the number of employed

Question 2

Which group has the highest unemployment rate in Canada?

Accepted Answer

A)  females, 45-64 years 
B)  males, 45-64 years 
C)  females, 15-24 years 
D)  males, 15-24 years 
A)  females, 45-64 years 
B)  males, 45-64 years 
C)  females, 15-24 years 
D)  males, 15-24 years

Question 3

In 2019 in Japan, based on concepts similar to those used to compute Canadian employment statistics, the unemployment rate was about 4.4 percent, the labour force participation rate was about 60 percent, and the adult population was about 130 million. How many people were employed?

Accepted Answer

A)  about 5.7 million 
B)  about 64.0 million 
C)  about 74.6 million 
D)  about 124.3 million 
A)  about 5.7 million 
B)  about 64.0 million 
C)  about 74.6 million 
D)  about 124.3 million

Question 4

Cyclical unemployment and the natural rate of unemployment are sometimes hard to distinguish from each other, so economists are not very confident about estimates of the natural rate of unemployment. Still, since unemployment rates are consistently higher in Canada and most Western European countries than in the United States, it appears that the natural rate of unemployment is lower in the United States. What might explain this difference?

Accepted Answer

The text offers two explanations for the

Question 5

The unemployment rate reported by Statistics Canada clearly understates the true unemployment rate.

Accepted Answer

A) True 
 B)False

Question 6

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

Accepted Answer

A)  6.3 percent 
B)  33.3 percent 
C)  62.5 percent 
D)  66.7 percent 
A)  6.3 percent 
B)  33.3 percent 
C)  62.5 percent 
D)  66.7 percent

Question 7

What impact would an increase in the minimum wage have on the quantity demanded and quantity supplied of labour?

Accepted Answer

A)  It would increase both the quantity demanded and the quantity supplied of labour. 
B)  It would decrease both the quantity demanded and the quantity supplied of labour. 
C)  It would increase the quantity of labour demanded while decreasing the quantity supplied. 
D)  It would decrease the quantity of labour demanded while increasing the quantity supplied. 
A)  It would increase both the quantity demanded and the quantity supplied of labour. 
B)  It would decrease both the quantity demanded and the quantity supplied of labour. 
C)  It would increase the quantity of labour demanded while decreasing the quantity supplied. 
D)  It would decrease the quantity of labour demanded while increasing the quantity supplied.

Question 8

What happened in Alberta in the mid-1990s that led to the lack of growth in the labour force participation rate for women?

Accepted Answer

A)  the increase in childcare costs 
B)  the province increasing its sales tax 
C)  the huge decrease in the number of immigrants coming to Alberta 
D)  the country was just entering into a recession 
A)  the increase in childcare costs 
B)  the province increasing its sales tax 
C)  the huge decrease in the number of immigrants coming to Alberta 
D)  the country was just entering into a recession

Question 9

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

Accepted Answer

A)  3.70 percent 
B)  33.33 percent 
C)  50.00 percent 
D)  66.67 percent 
A)  3.70 percent 
B)  33.33 percent 
C)  50.00 percent 
D)  66.67 percent

Question 10

What does the labour-force participation rate measure?

Accepted Answer

A)  the percentage of the total adult population that is in the labour force 
B)  the percentage of the total adult population that is employed 
C)  the percentage of the labour force that is employed 
D)  the percentage of the labour force that is either employed or unemployed 
A)  the percentage of the total adult population that is in the labour force 
B)  the percentage of the total adult population that is employed 
C)  the percentage of the labour force that is employed 
D)  the percentage of the labour force that is either employed or unemployed

Question 11

In which situation would Statistics Canada count a person as unemployed?

Accepted Answer

A)  when that person is not in the labour force 
B)  when that person is not looking for work 
C)  when that person is under the age of 15 
D)  when that person is age 15 or over and looking for work 
A)  when that person is not in the labour force 
B)  when that person is not looking for work 
C)  when that person is under the age of 15 
D)  when that person is age 15 or over and looking for work

Question 12

In 2019 in the United Kingdom, the adult population was about 65 million, the labour force participation rate was 60 percent, and the unemployment rate was 6 percent. What was the approximate number of people unemployed?

Accepted Answer

A)  0.7 million 
B)  1.7 million 
C)  2.3 million 
D)  6.5 million 
A)  0.7 million 
B)  1.7 million 
C)  2.3 million 
D)  6.5 million

Question 13

What would we predict if a country increases its unemployment compensation?

Accepted Answer

A)  The country would have shorter durations of each spell of unemployment, and it would have a higher unemployment. 
B)  The country would have shorter durations of each spell of unemployment, and it would have a lower unemployment rate 
C)  The country would have longer durations of each spell of unemployment, and it would have a higher unemployment rate. 
D)  The country would have longer durations of each spell of unemployment, and it would have a lower unemployment. 
A)  The country would have shorter durations of each spell of unemployment, and it would have a higher unemployment. 
B)  The country would have shorter durations of each spell of unemployment, and it would have a lower unemployment rate 
C)  The country would have longer durations of each spell of unemployment, and it would have a higher unemployment rate. 
D)  The country would have longer durations of each spell of unemployment, and it would have a lower unemployment.

Question 14

Which statement best defines the natural rate of unemployment?

Accepted Answer

A)  It is the unemployment rate that would prevail with zero immigration. 
B)  It is the rate associated with the highest possible level of GDP. 
C)  It is the difference between long-run and short-run unemployment rates. 
D)  It is the amount of unemployment that the economy normally experiences. 
A)  It is the unemployment rate that would prevail with zero immigration. 
B)  It is the rate associated with the highest possible level of GDP. 
C)  It is the difference between long-run and short-run unemployment rates. 
D)  It is the amount of unemployment that the economy normally experiences.

Question 15

Yohanna, the CEO of a corporation operating in Ethiopia, decides to raise the wages of her workers, even though she faces an excess supply of labour. Which of the following is an expected result from her decision?

Accepted Answer

A)  It will increase productivity, according to the efficiency wage theory. 
B)  It will help eliminate the excess supply of labour if she raises it sufficiently. 
C)  It will attract a larger pool of workers to fill vacancies but of lesser quality. 
D)  It will decrease profits, according to the efficiency wage theory. 
A)  It will increase productivity, according to the efficiency wage theory. 
B)  It will help eliminate the excess supply of labour if she raises it sufficiently. 
C)  It will attract a larger pool of workers to fill vacancies but of lesser quality. 
D)  It will decrease profits, according to the efficiency wage theory.

Question 16

Why might a favourable change to the economy such as technological change or a decrease in the price of imported oil be associated with an increase in frictional unemployment?

Accepted Answer

Even generally favourable changes will u

Question 17

In 2009, Canada was in a serious recession. By 2013, Canada was experiencing a strong economic recovery. How did employment growth and gross job creation compare between 2009 and 2013?

Accepted Answer

A)  Both employment growth and job creation were smaller in 2009. 
B)  Employment growth was the same in both years but job creation was smaller in 2009. 
C)  Employment growth was smaller in 2009 but job creation was larger in 2009. 
D)  Employment growth was smaller in 2009 but job creation was the same in both years. 
A)  Both employment growth and job creation were smaller in 2009. 
B)  Employment growth was the same in both years but job creation was smaller in 2009. 
C)  Employment growth was smaller in 2009 but job creation was larger in 2009. 
D)  Employment growth was smaller in 2009 but job creation was the same in both years.

Question 18

About what fraction of unemployed persons have been unemployed for less than a month?

Accepted Answer

A)  1/3 
B)  2/3 
C)  3/4 
D)  4/5 
A)  1/3 
B)  2/3 
C)  3/4 
D)  4/5

Question 19

...

Accepted Answer

The answer of ......

Question 20

About half of all spells of unemployment end when the unemployed person leaves the labour force.

Accepted Answer

A) True 
 B)False

Which of the following best defines the labour force?

Which group has the highest unemployment rate in Canada?

In 2019 in Japan, based on concepts similar to those used to compute Canadian employment statistics, the unemployment rate was about 4.4 percent, the labour force participation rate was about 60 percent, and the adult population was about 130 million. How many people were employed?

The unemployment rate reported by Statistics Canada clearly understates the true unemployment rate.

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

What impact would an increase in the minimum wage have on the quantity demanded and quantity supplied of labour?

What happened in Alberta in the mid-1990s that led to the lack of growth in the labour force participation rate for women?

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

What does the labour-force participation rate measure?

In which situation would Statistics Canada count a person as unemployed?

In 2019 in the United Kingdom, the adult population was about 65 million, the labour force participation rate was 60 percent, and the unemployment rate was 6 percent. What was the approximate number of people unemployed?

What would we predict if a country increases its unemployment compensation?

Which statement best defines the natural rate of unemployment?

Yohanna, the CEO of a corporation operating in Ethiopia, decides to raise the wages of her workers, even though she faces an excess supply of labour. Which of the following is an expected result from her decision?

Why might a favourable change to the economy such as technological change or a decrease in the price of imported oil be associated with an increase in frictional unemployment?

In 2009, Canada was in a serious recession. By 2013, Canada was experiencing a strong economic recovery. How did employment growth and gross job creation compare between 2009 and 2013?

About what fraction of unemployed persons have been unemployed for less than a month?

...

About half of all spells of unemployment end when the unemployed person leaves 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

Which of the following best defines the labour force?

Which group has the highest unemployment rate in Canada?

In 2019 in Japan, based on concepts similar to those used to compute Canadian employment statistics, the unemployment rate was about 4.4 percent, the labour force participation rate was about 60 percent, and the adult population was about 130 million. How many people were employed?

The unemployment rate reported by Statistics Canada clearly understates the true unemployment rate.

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

What impact would an increase in the minimum wage have on the quantity demanded and quantity supplied of labour?

What happened in Alberta in the mid-1990s that led to the lack of growth in the labour force participation rate for women?

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

What does the labour-force participation rate measure?

In which situation would Statistics Canada count a person as unemployed?

In 2019 in the United Kingdom, the adult population was about 65 million, the labour force participation rate was 60 percent, and the unemployment rate was 6 percent. What was the approximate number of people unemployed?

What would we predict if a country increases its unemployment compensation?

Which statement best defines the natural rate of unemployment?

Yohanna, the CEO of a corporation operating in Ethiopia, decides to raise the wages of her workers, even though she faces an excess supply of labour. Which of the following is an expected result from her decision?

Why might a favourable change to the economy such as technological change or a decrease in the price of imported oil be associated with an increase in frictional unemployment?

In 2009, Canada was in a serious recession. By 2013, Canada was experiencing a strong economic recovery. How did employment growth and gross job creation compare between 2009 and 2013?

About what fraction of unemployed persons have been unemployed for less than a month?

...

About half of all spells of unemployment end when the unemployed person leaves 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