Question 1

John has been laid off from his job because of a general downturn in the economy.John's unemployment is best classified as

Accepted Answer

A)  cyclical. 
B)  seasonal. 
C)  structural. 
D)  frictional. 
E)  avoidable. 
A)  cyclical. 
B)  seasonal. 
C)  structural. 
D)  frictional. 
E)  avoidable.

Question 2

The unemployment rate is the

Accepted Answer

A)  number of unemployed people. 
B)  percentage of the population that does not have a job. 
C)  percentage of the working-age population that does not have a job. 
D)  percentage of the labor force that does not have a job. 
E)  percentage of employed people that does not have a job. 
A)  number of unemployed people. 
B)  percentage of the population that does not have a job. 
C)  percentage of the working-age population that does not have a job. 
D)  percentage of the labor force that does not have a job. 
E)  percentage of employed people that does not have a job.

Question 3

If the unemployment rate is less than the natural unemployment rate, then

Accepted Answer

A)  there is no frictional unemployment. 
B)  cyclical unemployment is greater than zero. 
C)  real GDP is less than potential GDP. 
D)  real GDP is greater than potential GDP. 
E)  frictional unemployment is negative. 
A)  there is no frictional unemployment. 
B)  cyclical unemployment is greater than zero. 
C)  real GDP is less than potential GDP. 
D)  real GDP is greater than potential GDP. 
E)  frictional unemployment is negative.

Question 4

The unemployment that fluctuates over the business cycle is called

Accepted Answer

A)  frictional unemployment. 
B)  structural unemployment. 
C)  seasonal unemployment. 
D)  cyclical unemployment. 
E)  natural unemployment. 
A)  frictional unemployment. 
B)  structural unemployment. 
C)  seasonal unemployment. 
D)  cyclical unemployment. 
E)  natural unemployment.

Question 5

$$\begin{array} { l c } 
 { \text { Category } } & \begin{array} { c } 
\text { Number of people } \
\text { (millions) }
\end{array} \
\hline \text { Total population } & 246 \
\text { Working-age population } & 207 \
\text { Labor force } & 139 \
\text { Employed } & 133 \
\text { Unemployed } & 6 \
\hline
\end{array}$$
-Based on the information in the above table, what is the labor force participation rate?

Accepted Answer

The labor force participation

Question 6

If Jose is 22-years old, is available to work but does not have a job and made no specific efforts to find a job for the previous month, Jose is classified in the Current Population Survey as

Accepted Answer

A)  unemployed. 
B)  employed. 
C)  not in the working-age population. 
D)  not in the labor force. 
E)  in the labor force but not in the working-age population. 
A)  unemployed. 
B)  employed. 
C)  not in the working-age population. 
D)  not in the labor force. 
E)  in the labor force but not in the working-age population.

Question 7

The labor force is defined as the number of people who

Accepted Answer

A)  are employed plus the number of people who are unemployed. 
B)  are available and looking for work but are unable to find employment. 
C)  would like to have a job but have stopped seeking work. 
D)  would like to have a full-time job but are working part time. 
E)  are employed minus the number of people who are unemployed. 
A)  are employed plus the number of people who are unemployed. 
B)  are available and looking for work but are unable to find employment. 
C)  would like to have a job but have stopped seeking work. 
D)  would like to have a full-time job but are working part time. 
E)  are employed minus the number of people who are unemployed.

Question 8

U-1 is a more ________ measure of unemployment rate than the conventional U-3 measure and U-1 counts as unemployed workers who ________.

Accepted Answer

A)  narrow; have been unemployed for 15 weeks or more weeks 
B)  narrow; have been laid off 
C)  broad; have been laid off 
D)  broad; who are discouraged workers 
E)  broad; are marginally attached to the labor force. 
A)  narrow; have been unemployed for 15 weeks or more weeks 
B)  narrow; have been laid off 
C)  broad; have been laid off 
D)  broad; who are discouraged workers 
E)  broad; are marginally attached to the labor force.

Question 9

The unemployment rate equals 100 multiplied by the

Accepted Answer

A)  number of people unemployed divided by the labor force. 
B)  number of people unemployed divided by the population. 
C)  number of people unemployed divided by the number of people employed. 
D)  labor force divided by the number of people unemployed. 
E)  number of people unemployed divided by the working-age population. 
A)  number of people unemployed divided by the labor force. 
B)  number of people unemployed divided by the population. 
C)  number of people unemployed divided by the number of people employed. 
D)  labor force divided by the number of people unemployed. 
E)  number of people unemployed divided by the working-age population.

Question 10

Historically, job losers have been ________ job leavers.

Accepted Answer

A)  less abundant than 
B)  far more numerous than 
C)  about as numerous as 
D)  the source of fewer discouraged workers than 
E)  None of the above answers is correct because it is not possible to compare job losers and job leavers. 
A)  less abundant than 
B)  far more numerous than 
C)  about as numerous as 
D)  the source of fewer discouraged workers than 
E)  None of the above answers is correct because it is not possible to compare job losers and job leavers.

Question 11

Full employment occurs when

Accepted Answer

A)  structural unemployment is zero. 
B)  cyclical unemployment is zero. 
C)  frictional unemployment is zero. 
D)  structural, seasonal, and frictional unemployment are zero. 
E)  the unemployment rate equals zero. 
A)  structural unemployment is zero. 
B)  cyclical unemployment is zero. 
C)  frictional unemployment is zero. 
D)  structural, seasonal, and frictional unemployment are zero. 
E)  the unemployment rate equals zero.

Question 12

U-4, U-5 and U-6 are

Accepted Answer

A)  all broader measures of the unemployment rate. 
B)  all narrower measures of the unemployment rate. 
C)  not used by the Bureau of Labor Statistics because they include too much variability. 
D)  narrower measures of the labor force participation rate. 
E)  broader measures of the labor force participation rate. 
A)  all broader measures of the unemployment rate. 
B)  all narrower measures of the unemployment rate. 
C)  not used by the Bureau of Labor Statistics because they include too much variability. 
D)  narrower measures of the labor force participation rate. 
E)  broader measures of the labor force participation rate.

Question 13

During the recessions of 2001 and 2008-09,

Accepted Answer

A)  all measures of the unemployment rate (U-1 through U-6) increased. 
B)  only the broader measures of the unemployment rate increased. 
C)  only the narrower measures of the unemployment rate increased. 
D)  the labor force participation rate for women increased. 
E)  the labor force participation rate for men increased. 
A)  all measures of the unemployment rate (U-1 through U-6) increased. 
B)  only the broader measures of the unemployment rate increased. 
C)  only the narrower measures of the unemployment rate increased. 
D)  the labor force participation rate for women increased. 
E)  the labor force participation rate for men increased.

Question 14

Suppose the U.S.population is 275 million.If 210 million people are of working age, 135 million are employed, and 6 million are unemployed, what is the labor force participation rate?

Accepted Answer

A)  67 percent 
B)  76 percent 
C)  49 percent 
D)  64 percent 
E)  51 percent 
A)  67 percent 
B)  76 percent 
C)  49 percent 
D)  64 percent 
E)  51 percent

Question 15

The unemployment rate generally ________ during recessions and generally ________ during expansions.

Accepted Answer

A)  increases; decreases 
B)  decreases; increases 
C)  increases; increases 
D)  decreases; decreases 
E)  increases; does not change 
A)  increases; decreases 
B)  decreases; increases 
C)  increases; increases 
D)  decreases; decreases 
E)  increases; does not change

Question 16

In 2008 as the economy moved into a recession,

Accepted Answer

A)  cyclical unemployment increased. 
B)  structural unemployment decreased. 
C)  seasonal unemployment decreased. 
D)  frictional unemployment was not affected. 
E)  the number of marginally attached workers decreased. 
A)  cyclical unemployment increased. 
B)  structural unemployment decreased. 
C)  seasonal unemployment decreased. 
D)  frictional unemployment was not affected. 
E)  the number of marginally attached workers decreased.

Question 17

Joann has just lost her job because her company was faced with more foreign competition and decided to restructure, which reduced the number of jobs at the company.Joann is

Accepted Answer

A)  frictionally unemployed. 
B)  structurally unemployed. 
C)  seasonally unemployed. 
D)  cyclically unemployed. 
E)  internationally unemployed. 
A)  frictionally unemployed. 
B)  structurally unemployed. 
C)  seasonally unemployed. 
D)  cyclically unemployed. 
E)  internationally unemployed.

Question 18

Which of the following are sources of unemployment?
i. job losers.
ii. job leavers.
iii. entrants and reentrants.
iv. discouraged workers.

Accepted Answer

A)  i and ii 
B)  i and iii 
C)  ii and iii 
D)  i, ii, and iii 
E)  i, ii, iii, and iv 
A)  i and ii 
B)  i and iii 
C)  ii and iii 
D)  i, ii, and iii 
E)  i, ii, iii, and iv

Question 19

Discouraged workers are included in the calculation of the i. unemployment rate.
Ii) labor force participation rate.
Iii) working-age population.

Accepted Answer

A)  i only 
B)  ii only 
C)  i and ii 
D)  iii only 
E)  ii and iii 
A)  i only 
B)  ii only 
C)  i and ii 
D)  iii only 
E)  ii and iii

Question 20

A construction worker who is laid off in the winter and who gets rehired the following spring experiences ________ unemployment.

Accepted Answer

A)  cyclical 
B)  seasonal 
C)  frictional 
D)  cyclical and seasonal 
E)  structural 
A)  cyclical 
B)  seasonal 
C)  frictional 
D)  cyclical and seasonal 
E)  structural

John has been laid off from his job because of a general downturn in the economy.John's unemployment is best classified as

The unemployment rate is the

If the unemployment rate is less than the natural unemployment rate, then

The unemployment that fluctuates over the business cycle is called

Category Number of people (millions) Total population 246 Working-age population 207 Labor force 139 Employed 133 Unemployed 6 -Based on the information in the above table, what is the labor force participation rate?

If Jose is 22-years old, is available to work but does not have a job and made no specific efforts to find a job for the previous month, Jose is classified in the Current Population Survey as

The labor force is defined as the number of people who

U-1 is a more measure of unemployment rate than the conventional U-3 measure and U-1 counts as unemployed workers who .

The unemployment rate equals 100 multiplied by the

Historically, job losers have been ________ job leavers.

Full employment occurs when

U-4, U-5 and U-6 are

During the recessions of 2001 and 2008-09,

Suppose the U.S.population is 275 million.If 210 million people are of working age, 135 million are employed, and 6 million are unemployed, what is the labor force participation rate?

The unemployment rate generally during recessions and generally during expansions.

In 2008 as the economy moved into a recession,

Joann has just lost her job because her company was faced with more foreign competition and decided to restructure, which reduced the number of jobs at the company.Joann is

Which of the following are sources of unemployment? i. job losers. ii. job leavers. iii. entrants and reentrants. iv. discouraged workers.

Discouraged workers are included in the calculation of the i. unemployment rate. Ii) labor force participation rate. Iii) working-age population.

A construction worker who is laid off in the winter and who gets rehired the following spring experiences ________ unemployment.

Getting Started

The Usand Global Economies

The Economic Problem

Demand and Supply

Gdp: a Measure of Total Production and Income

The Cpi and the Cost of Living

Potential Gdp and the Natural Unemployment Rate

Economic Growth

Finance, Saving, and Investment

The Monetary System

Money, Interest, and Inflation

Aggregate Supply and Aggregate Demand

Aggregate Expenditure Multiplier

The Short-Run Policy Tradeoff

Fiscal Policy

Monetary Policy

International Trade Policy

International Finance

Filters

Exam 6: Jobs and Unemployment

John has been laid off from his job because of a general downturn in the economy.John's unemployment is best classified as

The unemployment rate is the

If the unemployment rate is less than the natural unemployment rate, then

The unemployment that fluctuates over the business cycle is called

Category Number of people (millions) Total population 246 Working-age population 207 Labor force 139 Employed 133 Unemployed 6 -Based on the information in the above table, what is the labor force participation rate?

If Jose is 22-years old, is available to work but does not have a job and made no specific efforts to find a job for the previous month, Jose is classified in the Current Population Survey as

The labor force is defined as the number of people who

U-1 is a more ________ measure of unemployment rate than the conventional U-3 measure and U-1 counts as unemployed workers who ________.

The unemployment rate equals 100 multiplied by the

Historically, job losers have been ________ job leavers.

Full employment occurs when

U-4, U-5 and U-6 are

During the recessions of 2001 and 2008-09,

Suppose the U.S.population is 275 million.If 210 million people are of working age, 135 million are employed, and 6 million are unemployed, what is the labor force participation rate?

The unemployment rate generally ________ during recessions and generally ________ during expansions.

In 2008 as the economy moved into a recession,

Joann has just lost her job because her company was faced with more foreign competition and decided to restructure, which reduced the number of jobs at the company.Joann is

Which of the following are sources of unemployment? i. job losers. ii. job leavers. iii. entrants and reentrants. iv. discouraged workers.

Discouraged workers are included in the calculation of the i. unemployment rate. Ii) labor force participation rate. Iii) working-age population.

A construction worker who is laid off in the winter and who gets rehired the following spring experiences ________ unemployment.

Getting Started

The Usand Global Economies

The Economic Problem

Demand and Supply

Gdp: a Measure of Total Production and Income

The Cpi and the Cost of Living

Potential Gdp and the Natural Unemployment Rate

Economic Growth

Finance, Saving, and Investment

The Monetary System

Money, Interest, and Inflation

Aggregate Supply and Aggregate Demand

Aggregate Expenditure Multiplier

The Short-Run Policy Tradeoff

Fiscal Policy

Monetary Policy

International Trade Policy

International Finance

Filters

U-1 is a more measure of unemployment rate than the conventional U-3 measure and U-1 counts as unemployed workers who .

The unemployment rate generally during recessions and generally during expansions.