Exam 28: Unemployment and Its Natural Rate

The Bureau of Labor Statistics' "unemployed" category includes those who were not employed, were available for work, and had tried to find employment during the previous four weeks.

Unions contribute to

Which of the following is not correct?

Cyclical unemployment refers to the year-to-year fluctuations in unemployment around its natural rate.

Efficiency wages create structural unemployment.

The amount of unemployment that a country typically experiences is a determinant of its standard of living.

Measuring unemployment is the job of the Bureau of Labor Statistics.

In 2016 the Bureau of Labor Statistics reported that there were 62.2 million people over age 25 whose highest level of education was a high school degree or equivalent. Of these, 33.7 million were employed and 1.8 million were unemployed. What were the labor-force participation rate and the unemployment rate for this group?

Adults who are waiting to be recalled to a job from which they had been laid off are counted as "unemployed."

The natural rate of unemployment refers to the current unemployment rate.

The Bureau of Labor Statistics produces data on unemployment based on the number of people collecting unemployment insurance.

Some persons are counted as out of the labor force because they have made no serious or recent effort to look for work. However, some of these individuals may want to work even though they are too discouraged to make a serious effort to look for work. If these individuals were counted as unemployed instead of out of the labor force, then

Almost half of all spells of unemployment end when the unemployed person leaves the labor force.

The Bureau of Labor Statistics classifies people who would like to work but have given up looking for a job as

Most economists agree that eliminating unemployment insurance would increase the amount of unemployment in the economy.

Table 28-3 2009 Labor Data for Baltivia -Refer to Table 28-3. How many people were in Baltivia's labor force in 2009?

Figure 28-3 -Refer to Figure 28-3. If the government imposes a minimum wage of $4, then employment will decrease by

In the town of Gotham the adult population is 560 thousand, the number unemployed is 25 thousand, and 185 thousand are not in the labor force. Calculate the unemployment rate.

More generous unemployment insurance would

Scenario 28-1 Suppose that the Bureau of Labor Statistics reports that the entire adult population of Mankiwland can be categorized as follows: 25 million people employed, 3 million people unemployed, 1 million discouraged workers, and 1 million people who are either students, homemakers, retirees, or other people not seeking employment. -Refer to Scenario 28-1. What is the total labor force?