Exam 9: B: Business Cycles, Unemployment, and Inflation

If the consumer price index was 170 in one year and 180 in the next year, then the rate of inflation from one year to the next was approximately:

The type of unemployment associated with recessions is called:

A headline states: "Real GDP falls again as the economy slumps." This condition is most likely to produce what type of unemployment?

In Year 1, the price level was 120 and the average nominal income was $30,000.In Year 2, the price level was 125 and the average nominal level of income was $32,000.What happened to real income from Year 1 to Year 2?

In 2018, the labour force in Canada constituted: Using Figure 9.2, what percentage of the total population of was in the labour force?

Which of the following Canadian provinces had the highest decline in real GDP in 2016?

As applied to the price level, the "rule of 70" indicates that the number of years required for the price to double can be found by:

If the natural rate of unemployment was 7 percent, the current unemployment rate was 12 percent, and the nominal GDP was $4,000 billion, then according to Okun's law the economy would have sacrificed:

The production of durable goods is more stable than the production of nondurables over the business cycle.

Demand-pull inflation:

When unanticipated deflation occurs:

The presence of discouraged workers:

Real income can be determined by:

Suppose there are 10 million part-time workers and 90 million full-time workers in an economy.Five million of the part-time workers switch to full-time work.We can conclude that:

Unanticipated inflation benefits debtors at the expense of creditors.

If the annual inflation rate is 5 percent a year, about how many years will it take for the price level to double?

The following information is about a hypothetical economy: Full-time employed = 80 Part-time employed = 25 Unemployed = 15 Discouraged workers = 5 Members of underground economy = 6 Consumer Price Index = 110 Refer to the above information.If 6 members of the labour force are presently counted as part of the unemployed when in fact they are employed, the official unemployment rate is overstated by:

The GDP gap measures the:

The natural rate of unemployment is:

Assume that there is a fixed rate of interest on contracts for borrowers and lenders.If unanticipated inflation occurs in the economy, then: