Question 1

A full-time student who is not working is categorized as

Accepted Answer

A)  unemployed. 
B)  employed. 
C)  not in the labor force. 
D)  a discouraged worker. 
E)  frictionally unemployed. 
A)  unemployed. 
B)  employed. 
C)  not in the labor force. 
D)  a discouraged worker. 
E)  frictionally unemployed.

Question 2

Table 20-14
   The table above reports the nominal average hourly earnings in private industry and the consumer price index for 1965 and 2010.
-Refer to Table 20-14. The percentage change in real average earnings from 1965 to 2010 equals

Accepted Answer

A)  2.0 percent. 
B)  19.7 percent. 
C)  24.6 percent. 
D)  80.3 percent. 
A)  2.0 percent. 
B)  19.7 percent. 
C)  24.6 percent. 
D)  80.3 percent.

Question 3

If inflation is completely anticipated,

Accepted Answer

A)  no one loses in the economy. 
B)  borrowers lose in the economy. 
C)  lenders lose in the economy. 
D)  firms lose because they incur menu costs. 
A)  no one loses in the economy. 
B)  borrowers lose in the economy. 
C)  lenders lose in the economy. 
D)  firms lose because they incur menu costs.

Question 4

Eliminating structural unemployment would be good for the economy.

Accepted Answer

A) True 
 B)False

Question 5

What is outlet bias?

Accepted Answer

A)  the tendency for households to spend more money over time 
B)  the tendency for households to spend their money at discount stores as prices rise 
C)  the tendency for the quality of products to improve over time even though the CPI does not measure changes in quality 
D)  the tendency for consumers to purchase newer, more technologically advanced products even though they have higher prices 
A)  the tendency for households to spend more money over time 
B)  the tendency for households to spend their money at discount stores as prices rise 
C)  the tendency for the quality of products to improve over time even though the CPI does not measure changes in quality 
D)  the tendency for consumers to purchase newer, more technologically advanced products even though they have higher prices

Question 6

Which of the following labor market statistics best indicates the amount of labor that is available to the economy from a given working-age population?

Accepted Answer

A)  unemployment rate 
B)  discouraged-worker ratio 
C)  labor force participation rate 
D)  the ratio of minimum wage to inflation 
A)  unemployment rate 
B)  discouraged-worker ratio 
C)  labor force participation rate 
D)  the ratio of minimum wage to inflation

Question 7

If the employment-population ratio in 2017 was at the same level as it was in 2006,

Accepted Answer

A)  the same number of people would have been working in 2017 as were working in 2006. 
B)  3.5 million fewer people would have been working in 2017 than actually were. 
C)  an additional 8 million people would have been working in 2017 than actually were. 
D)  the number of employed people in 2017 would not have been different. 
A)  the same number of people would have been working in 2017 as were working in 2006. 
B)  3.5 million fewer people would have been working in 2017 than actually were. 
C)  an additional 8 million people would have been working in 2017 than actually were. 
D)  the number of employed people in 2017 would not have been different.

Question 8

Table 20-19
  
-Refer to Table 20-19. Looking at the table above, what is the rate of growth of the average price level from 2016 to 2017?

Accepted Answer

A)  1% 
B)  2% 
C)  3% 
D)  4% 
E)  5% 
A)  1% 
B)  2% 
C)  3% 
D)  4% 
E)  5%

Question 9

Minimum wage laws cause unemployment because the legal minimum wage is set

Accepted Answer

A)  below the market wage, causing labor demand to be greater than labor supply. 
B)  below the market wage, causing labor demand to be less than labor supply. 
C)  above the market wage, causing labor demand to be greater than labor supply. 
D)  above the market wage, causing labor demand to be less than labor supply. 
A)  below the market wage, causing labor demand to be greater than labor supply. 
B)  below the market wage, causing labor demand to be less than labor supply. 
C)  above the market wage, causing labor demand to be greater than labor supply. 
D)  above the market wage, causing labor demand to be less than labor supply.

Question 10

The household survey is compiled from firms who answer questions about the number of persons who are employed and on the company payroll.

Accepted Answer

A) True 
 B)False

A full-time student who is not working is categorized as

Table 20-14 The table above reports the nominal average hourly earnings in private industry and the consumer price index for 1965 and 2010. -Refer to Table 20-14. The percentage change in real average earnings from 1965 to 2010 equals

If inflation is completely anticipated,

Eliminating structural unemployment would be good for the economy.

What is outlet bias?

Which of the following labor market statistics best indicates the amount of labor that is available to the economy from a given working-age population?

If the employment-population ratio in 2017 was at the same level as it was in 2006,

Table 20-19 -Refer to Table 20-19. Looking at the table above, what is the rate of growth of the average price level from 2016 to 2017?

Minimum wage laws cause unemployment because the legal minimum wage is set

The household survey is compiled from firms who answer questions about the number of persons who are employed and on the company payroll.

Economics: Foundations and Models

Trade-Offs, Comparative Advantage, and the Market System

Where Prices Come From: the Interaction of Demand and Supply

Economic Efficiency, Government Price Setting, and Taxes

Externalities, Environmental Policy, and Public Goods

Elasticity: the Responsiveness of Demand and Supply

The Economics of Health Care

Firms, the Stock Market, and Corporate Governance

Comparative Advantage and the Gains From International Trade

Consumer Choice and Behavioral Economics

Technology, Production, and Costs

Firms in Perfectly Competitive Markets

Monopolistic Competition: the Competitive Model in a More Realistic Setting

Oligopoly: Firms in Less Competitive Markets

Monopoly and Antitrust Policy

Pricing Strategy

The Markets for Labor and Other Factors of Production

Public Choice, Taxes, and the Distribution of Income

Gdp: Measuring Total Production and Income

Economic Growth, the Financial System, and Business Cycles

Long-Run Economic Growth: Sources and Policies

Aggregate Expenditure and Output in the Short Run

Aggregate Demand and Aggregate Supply Analysis

Money, Banks, and the Federal Reserve System

Monetary Policy

Fiscal Policy

Inflation, Unemployment, and Federal Reserve Policy

Macroeconomics in an Open Economy

The International Financial System

Filters

Exam 20: Unemployment and Inflation

A full-time student who is not working is categorized as

Table 20-14 The table above reports the nominal average hourly earnings in private industry and the consumer price index for 1965 and 2010. -Refer to Table 20-14. The percentage change in real average earnings from 1965 to 2010 equals

If inflation is completely anticipated,

Eliminating structural unemployment would be good for the economy.

What is outlet bias?

Which of the following labor market statistics best indicates the amount of labor that is available to the economy from a given working-age population?

If the employment-population ratio in 2017 was at the same level as it was in 2006,

Table 20-19 -Refer to Table 20-19. Looking at the table above, what is the rate of growth of the average price level from 2016 to 2017?

Minimum wage laws cause unemployment because the legal minimum wage is set

The household survey is compiled from firms who answer questions about the number of persons who are employed and on the company payroll.

Economics: Foundations and Models

Trade-Offs, Comparative Advantage, and the Market System

Where Prices Come From: the Interaction of Demand and Supply

Economic Efficiency, Government Price Setting, and Taxes

Externalities, Environmental Policy, and Public Goods

Elasticity: the Responsiveness of Demand and Supply

The Economics of Health Care

Firms, the Stock Market, and Corporate Governance

Comparative Advantage and the Gains From International Trade

Consumer Choice and Behavioral Economics

Technology, Production, and Costs

Firms in Perfectly Competitive Markets

Monopolistic Competition: the Competitive Model in a More Realistic Setting

Oligopoly: Firms in Less Competitive Markets

Monopoly and Antitrust Policy

Pricing Strategy

The Markets for Labor and Other Factors of Production

Public Choice, Taxes, and the Distribution of Income

Gdp: Measuring Total Production and Income

Economic Growth, the Financial System, and Business Cycles

Long-Run Economic Growth: Sources and Policies

Aggregate Expenditure and Output in the Short Run

Aggregate Demand and Aggregate Supply Analysis

Money, Banks, and the Federal Reserve System

Monetary Policy

Fiscal Policy

Inflation, Unemployment, and Federal Reserve Policy

Macroeconomics in an Open Economy

The International Financial System

Filters