Question 1

Which of the following is correct?

Accepted Answer

A) Adults have higher labor-force participation rates and higher unemployment rates than do teenagers. 
B) Adults have higher labor-force participation rates and lower unemployment rates than do teenagers. 
C) Adults have lower labor-force participation rates and lower unemployment rates than do teenagers. 
D) Adults have lower labor-force participation rates and higher unemployment rates than do teenagers. 
A) Adults have higher labor-force participation rates and higher unemployment rates than do teenagers. 
B) Adults have higher labor-force participation rates and lower unemployment rates than do teenagers. 
C) Adults have lower labor-force participation rates and lower unemployment rates than do teenagers. 
D) Adults have lower labor-force participation rates and higher unemployment rates than do teenagers.

Question 2

Consider two people who are currently out of work.Tim 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 sometime,she has looked for work in the past.The BLS considers

Accepted Answer

A) both Tim and Bev to be marginally attached workers. 
B) neither Tim nor Bev to be marginally attached workers. 
C) only Tim to be a marginally attached worker. 
D) only Bev to be a marginally attached worker. 
A) both Tim and Bev to be marginally attached workers. 
B) neither Tim nor Bev to be marginally attached workers. 
C) only Tim to be a marginally attached worker. 
D) only Bev to be a marginally attached worker.

Question 3

What is the theory of efficiency wages? Provide two reasons that employers might pay efficiency wages.

Accepted Answer

According to the theory of efficiency wa

Question 4

Use the graph below to answer the following questions.
Figure 28-2
  
-Refer to Figure 28-2.If the minimum wage fell from $7 to $5,in this market unemployment would

Accepted Answer

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

Question 5

In the United States in recent years,the unemployment rate among teenagers has been

Accepted Answer

A) less than that of people ages 20 and over. 
B) about the same as that of people ages 20 and over. 
C) about twice that of people ages 20 and over. 
D) more than three times that of people ages 20 and over. 
A) less than that of people ages 20 and over. 
B) about the same as that of people ages 20 and over. 
C) about twice that of people ages 20 and over. 
D) more than three times that of people ages 20 and over.

Question 6

Labor Stats
The Labor Market
This table shows the 2003 data for males and females ages 16 and over in the imaginary country of Meditor.
  
-Refer to Labor Stats.What is the adult labor force in Meditor?

Accepted Answer

A) 90 million 
B) 150 million 
C) 160 million 
D) 240 million 
A) 90 million 
B) 150 million 
C) 160 million 
D) 240 million

Question 7

Labor Stats
The Labor Market
This table shows the 2003 data for males and females ages 16 and over in the imaginary country of Meditor.
  
-Refer to Labor Stats.What is the adult female labor-force participation rate in Meditor?

Accepted Answer

A) 4.76% 
B) 38.10% 
C) 66.67% 
D) 80.95% 
A) 4.76% 
B) 38.10% 
C) 66.67% 
D) 80.95%

Question 8

There will be structural unemployment if

Accepted Answer

A) some wages are kept above their equilibrium level. 
B) some people choose not to work at the equilibrium wage. 
C) some wages are below their equilibrium level. 
D) There can be structural unemployment under all the possibilities above. 
A) some wages are kept above their equilibrium level. 
B) some people choose not to work at the equilibrium wage. 
C) some wages are below their equilibrium level. 
D) There can be structural unemployment under all the possibilities above.

Question 9

The unemployment rate reported by the BLS is likely to be

Accepted Answer

A) somewhat higher than the actual unemployment rate. 
B) somewhat lower than the actual unemployment rate. 
C) pretty close to the actual unemployment rate. 
D) higher or lower than the actual unemployment rate; we are not certain. 
A) somewhat higher than the actual unemployment rate. 
B) somewhat lower than the actual unemployment rate. 
C) pretty close to the actual unemployment rate. 
D) higher or lower than the actual unemployment rate; we are not certain.

Question 10

Which of the following includes only demographic groups that have a participation rate of over 68%?

Accepted Answer

A) white males, white females, black males, and black females 
B) white males and white females 
C) white males and black males 
D) white males 
A) white males, white females, black males, and black females 
B) white males and white females 
C) white males and black males 
D) white males

Question 11

Since the 1940s and 1950s,the percentage of U.S.workers who belong to unions has risen by about one-third.

Accepted Answer

A) True 
 B)False

Question 12

The legislation that granted unions the legal right to organize workers and bargain collectively with employers was the

Accepted Answer

A) Norris-LaGuardia Act. 
B) Wagner Act. 
C) Taft-Hartley Act. 
D) Sherman Act. 
A) Norris-LaGuardia Act. 
B) Wagner Act. 
C) Taft-Hartley Act. 
D) Sherman Act.

Question 13

The Wagner Act of 1935

Accepted Answer

A) prevents unions from acting as cartels. 
B) allows workers joining a unionized firm to choose not to join the union. 
C) prevents employers from interfering when workers try to organize a union. 
D) None of the above is correct. 
A) prevents unions from acting as cartels. 
B) allows workers joining a unionized firm to choose not to join the union. 
C) prevents employers from interfering when workers try to organize a union. 
D) None of the above is correct.

Question 14

The Congressional Budget Office estimated that the natural rate of unemployment is about

Accepted Answer

A) 3.9 percent 
B) 4.5 percent 
C) 5.2 percent 
D) 5.9 percent 
A) 3.9 percent 
B) 4.5 percent 
C) 5.2 percent 
D) 5.9 percent

Question 15

The Bureau of Labor Statistics predicts that the number of jobs for registered nurses will grow faster than most occupations while the number of jobs for telephone operators will decline.This change in the labor market could lead to

Accepted Answer

A) frictional unemployment created by a sectoral shift. 
B) structural unemployment created by a sectoral shift. 
C) frictional unemployment created by efficiency wages. 
D) structural unemployment created by efficiency wages. 
A) frictional unemployment created by a sectoral shift. 
B) structural unemployment created by a sectoral shift. 
C) frictional unemployment created by efficiency wages. 
D) structural unemployment created by efficiency wages.

Question 16

Economists would predict that,other things the same,the more generous unemployment compensation a country has,

Accepted Answer

A) the shorter the duration of each spell of unemployment, and the higher the unemployment rate. 
B) the shorter the duration of each spell of unemployment, and the lower the unemployment rate. 
C) the longer the duration of each spell of unemployment, and the higher the unemployment rate. 
D) the longer the duration of each spell of unemployment, and the lower the unemployment rate. 
A) the shorter the duration of each spell of unemployment, and the higher the unemployment rate. 
B) the shorter the duration of each spell of unemployment, and the lower the unemployment rate. 
C) the longer the duration of each spell of unemployment, and the higher the unemployment rate. 
D) the longer the duration of each spell of unemployment, and the lower the unemployment rate.

Question 17

Someone who is without work but is not looking for work would be counted as unemployed by the BLS.

Accepted Answer

A) True 
 B)False

Question 18

The government operates programs for job training and job information intended to reduce unemployment.

Accepted Answer

A) Almost all economists agree that such programs are of no use. 
B) Almost all economists agree that such programs work very well. 
C) Some economists claim that the government can do these things no better than firms and individuals could do them for themselves. 
D) None of the above is correct. 
A) Almost all economists agree that such programs are of no use. 
B) Almost all economists agree that such programs work very well. 
C) Some economists claim that the government can do these things no better than firms and individuals could do them for themselves. 
D) None of the above is correct.

Question 19

Tara just graduated from college.In order to devote all her efforts to college,she didn't hold a job.She is going to cruise around the country on her motorcycle for awhile before she starts looking for work.As a result,the unemployment rate

Accepted Answer

A) increases, and the labor-force participation rate increases. 
B) is unaffected, and the labor-force participation rate is unaffected. 
C) increases, and the labor-force participation rate decreases. 
D) increases, and the labor-force participation rate is unaffected. 
A) increases, and the labor-force participation rate increases. 
B) is unaffected, and the labor-force participation rate is unaffected. 
C) increases, and the labor-force participation rate decreases. 
D) increases, and the labor-force participation rate is unaffected.

Question 20

The unemployment rate is defined as the percentage of the labor force that is unemployed.The labor force participation rate is the percentage of the adult population that is either employed or unemployed.

Accepted Answer

A) True 
 B)False

Exam 28: Unemployment

Which of the following is correct?

What is the theory of efficiency wages? Provide two reasons that employers might pay efficiency wages.

Use the graph below to answer the following questions. Figure 28-2 -Refer to Figure 28-2.If the minimum wage fell from $7 to $5,in this market unemployment would

In the United States in recent years,the unemployment rate among teenagers has been

Labor Stats The Labor Market This table shows the 2003 data for males and females ages 16 and over in the imaginary country of Meditor. -Refer to Labor Stats.What is the adult labor force in Meditor?

Labor Stats The Labor Market This table shows the 2003 data for males and females ages 16 and over in the imaginary country of Meditor. -Refer to Labor Stats.What is the adult female labor-force participation rate in Meditor?

There will be structural unemployment if

The unemployment rate reported by the BLS is likely to be

Which of the following includes only demographic groups that have a participation rate of over 68%?

Since the 1940s and 1950s,the percentage of U.S.workers who belong to unions has risen by about one-third.

The legislation that granted unions the legal right to organize workers and bargain collectively with employers was the

The Wagner Act of 1935

The Congressional Budget Office estimated that the natural rate of unemployment is about

The Bureau of Labor Statistics predicts that the number of jobs for registered nurses will grow faster than most occupations while the number of jobs for telephone operators will decline.This change in the labor market could lead to

Economists would predict that,other things the same,the more generous unemployment compensation a country has,

Someone who is without work but is not looking for work would be counted as unemployed by the BLS.

The government operates programs for job training and job information intended to reduce unemployment.

Tara just graduated from college.In order to devote all her efforts to college,she didn't hold a job.She is going to cruise around the country on her motorcycle for awhile before she starts looking for work.As a result,the unemployment rate

The unemployment rate is defined as the percentage of the labor force that is unemployed.The labor force participation rate is the percentage of the adult population that is either employed or unemployed.

Ten Principles of Economics

Thinking Like an Economist

Interdependence and the Gains From Trade

The Market Forces of Supply and Demand

Elasticity and Its Applications

Supply, demand, and Government Policies

Consumers, producers, and the Efficiency of Markets

Application: the Costs of Taxation

Application: International Trade

Externalities

Public Goods and Common Resources

The Design of the Tax System

The Costs of Production

Firms in Competitive Markets

Monopoly

Oligopoly

Monopolistic Competition

The Markets for the Factors of Production

Earnings and Discrimination

Income Inequality and Poverty

The Theory of Consumer Choice

Frontiers of Microeconomics

Measuring a Nations Income

Measuring the Cost of Living

Production and Growth

Saving, investment, and the Financial System

The Basic Tools of Finance

The Monetary System

Money Growth and Inflation

Open-Economy Macroeconomics: Basic Concepts

A Macroeconomic Theory of the Open Economy

Aggregate Demand and Aggregate Supply

The Influence of Monetary and Fiscal Policy on Aggregate Demand

The Short Run Trade Off Between Inflation and Unemployment

Five Debates Over Macroeconomic Policy

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