Exam 7: Unemployment

Suppose 200 000 people are employed, 25 000 people are unemployed, the working-age population is 250 000 and 50 000 people are out of the labour force. Calculate the unemployment rate. _____________________________________________________________________________________________ _____________________________________________________________________________________________

Paying efficiency wages is a way for a company to cut costs and become more efficient and are therefore lower than market wages.

The unemployment resulting from workers laid off due to an economic contraction or a recession would be classified as:

For each of the following, indicate if the person would be classified as employed, unemployed, or not in the labour force: (i)a 65-year-old man who left his job and is now working as a volunteer for 10 hours a week; (ii)a university graduate who has not been able to find a position using her skills and is working as a wait-person for 30 hours a week; and (iii)a manufacturing worker who is out of a job and has given up searching for a job. _____________________________________________________________________________________________ _____________________________________________________________________________________________

Why are jobs continually being created and destroyed in the economy? _____________________________________________________________________________________________ _____________________________________________________________________________________________

Which of the following is true about the Australian labour force participation rate?

A woman named Sheila who retired becomes bored and begins to look for a job. During the time she is searching for work, she would be classified as:

How is the unemployment rate calculated?

By offering training to workers whose firms sacked them because of competition from foreign firms, the federal government is attempting to reduce:

The unemployment rate is calculated by adding up the number of people receiving unemployment benefit payments from the government.

Around 1 800 people who were unemployed last month start new jobs this month. As a result of this increase in the number of employed workers, which of the following occurred (ceteris paribus)?

People who lost their jobs as hand-drawn animators because of the popularity of computer-generated 3D animation are examples of people who are experiencing:

Why are policy makers concerned about rising unemployment rates? _____________________________________________________________________________________________ _____________________________________________________________________________________________

Which of the following is an economic cost of rising unemployment rates?

Describe the three types of unemployment. _____________________________________________________________________________________________ _____________________________________________________________________________________________

Which of the following is an example of a worker experiencing 'cyclical unemployment'?

Discuss the trends in labour force participation in Australia over the past 40 years. _____________________________________________________________________________________________ _____________________________________________________________________________________________

Trade unions cause unemployment because the union contract wage is set:

How are 'discouraged workers' classified by the Australian Bureau of Statistics (ABS)?

Which of the following describes actual trends in the Australian labour force participation rate?