Question 1

In the United States, from 1980 to 2011, the percentage of

Accepted Answer

A) part-time workers who are part time for economic reasons has risen during recessions and fallen during expansions. 
B) part-time workers who are part time for economic reasons has increased significantly to over 30 percent. 
C) part-time workers who are part time for noneconomic reasons has risen during recessions and fallen during expansions. 
D) part-time workers who are part time for noneconomic reasons has increased significantly to over 30 percent. 
E) None of the above answers are correct. 
A) part-time workers who are part time for economic reasons has risen during recessions and fallen during expansions. 
B) part-time workers who are part time for economic reasons has increased significantly to over 30 percent. 
C) part-time workers who are part time for noneconomic reasons has risen during recessions and fallen during expansions. 
D) part-time workers who are part time for noneconomic reasons has increased significantly to over 30 percent. 
E) None of the above answers are correct.

Question 2

In the United States, the percentage of part-time workers who are part time for noneconomic reasons

Accepted Answer

A) has fallen by almost one half since 1980. 
B) does not fluctuate much with the business cycle. 
C) rises during an expansionary period and falls during a recessionary period. 
D) has averaged about 33 percent of all workers. 
E) has increased in most years since 1980. 
A) has fallen by almost one half since 1980. 
B) does not fluctuate much with the business cycle. 
C) rises during an expansionary period and falls during a recessionary period. 
D) has averaged about 33 percent of all workers. 
E) has increased in most years since 1980.

Question 3

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 4

Part-time workers are defined as people who are working

Accepted Answer

A) less than 20 hours per week. 
B) between 20 and 35 hours per week. 
C) less than 35 hours per week. 
D) more than 10 hours per week. 
E) fewer hours than they would want. 
A) less than 20 hours per week. 
B) between 20 and 35 hours per week. 
C) less than 35 hours per week. 
D) more than 10 hours per week. 
E) fewer hours than they would want.

Question 5

During a recession, the percentage workers who are part time for economic reasons

Accepted Answer

A) increases more rapidly than the percentage of part-time workers. 
B) decreases more rapidly than the percentage of part-time workers. 
C) increases proportionately with the percentage of part-time workers. 
D) decreases proportionately to the percentage of part-time workers. 
E) does not change even though the percentage of part-time workers increases. 
A) increases more rapidly than the percentage of part-time workers. 
B) decreases more rapidly than the percentage of part-time workers. 
C) increases proportionately with the percentage of part-time workers. 
D) decreases proportionately to the percentage of part-time workers. 
E) does not change even though the percentage of part-time workers increases.

Question 6

A reduction in unemployment benefits will

Accepted Answer

A) decrease the amount of frictional unemployment. 
B) increase the amount of frictional unemployment. 
C) not change the amount of frictional unemployment because unemployment benefits affects only cyclical unemployment. 
D) not change the amount of frictional unemployment because unemployment benefits affects only structural unemployment. 
E) increase the amount of cyclical unemployment. 
A) decrease the amount of frictional unemployment. 
B) increase the amount of frictional unemployment. 
C) not change the amount of frictional unemployment because unemployment benefits affects only cyclical unemployment. 
D) not change the amount of frictional unemployment because unemployment benefits affects only structural unemployment. 
E) increase the amount of cyclical unemployment.

Question 7

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 8

Joe has been unable to find a job because he lacks the necessary computer skills. Joe is

Accepted Answer

A) frictionally unemployed. 
B) structurally unemployed. 
C) educationally unemployed. 
D) cyclically unemployed. 
E) skill-set unemployed. 
A) frictionally unemployed. 
B) structurally unemployed. 
C) educationally unemployed. 
D) cyclically unemployed. 
E) skill-set unemployed.

Question 9

The unemployment rate is 6 percent. If the population is 300 million, and the number unemployed is 6 million and the number employed is 94 million, what is the size of the labor force?

Accepted Answer

The labor force is the sum of

Question 10

The unemployment rate equals

Accepted Answer

A) (number of people employed ÷ working-age population)× 100. 
B) (number of people unemployed ÷ labor force)× 100. 
C) (labor force ÷ working-age population)× 100. 
D) (number of people employed ÷ number of people age 16 and over)× 100. 
E) (number of people unemployed ÷ number of people employed)× 100. 
A) (number of people employed ÷ working-age population)× 100. 
B) (number of people unemployed ÷ labor force)× 100. 
C) (labor force ÷ working-age population)× 100. 
D) (number of people employed ÷ number of people age 16 and over)× 100. 
E) (number of people unemployed ÷ number of people employed)× 100.

Question 11

Suppose the working-age population is 150 million, the labor force is 125 million, and employment is 120 million.
a. What is the unemployment rate?
b. Now suppose that 2 million students graduate from college and begin to look for jobs. What is the new unemployment rate if none of the students have found jobs yet?
c. Suppose that all 2 million students find jobs. What is the unemployment rate now?

Accepted Answer

a. The unemployment rate is (5 million u

Question 12

Unemployment rates in the United States during the past 60 years

Accepted Answer

A) have remained between 4 and 6 percent. 
B) have risen and fallen in a range between approximately 10 and 25 percent. 
C) have risen and fallen in a range between approximately 4 and 10 percent. 
D) have fallen steadily from approximately 10 percent 40 years ago to near 2 percent today. 
E) have risen steadily and today are near all-time highs. 
A) have remained between 4 and 6 percent. 
B) have risen and fallen in a range between approximately 10 and 25 percent. 
C) have risen and fallen in a range between approximately 4 and 10 percent. 
D) have fallen steadily from approximately 10 percent 40 years ago to near 2 percent today. 
E) have risen steadily and today are near all-time highs.

Question 13

Which of the following correctly describes "frictional unemployment"?

Accepted Answer

A) Frictional unemployment includes only people who are job losers. 
B) Frictional unemployment includes only people who are job leavers. 
C) Frictional unemployment occurs mainly during recessions. 
D) Frictional unemployment is a normal occurrence in a growing economy. 
E) Frictional unemployment falls in recessions and rises in expansions. 
A) Frictional unemployment includes only people who are job losers. 
B) Frictional unemployment includes only people who are job leavers. 
C) Frictional unemployment occurs mainly during recessions. 
D) Frictional unemployment is a normal occurrence in a growing economy. 
E) Frictional unemployment falls in recessions and rises in expansions.

Question 14

The number of part-time workers for economic reasons ________ during recessions and the number of part-time workers for noneconomic reasons ________ during recessions

Accepted Answer

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

Question 15

$$\begin{array} { l c } 
{ \text { Category } } & \begin{array} { c } 
\text { Number of People } \
\text { (thousands) }
\end{array} \
\hline \text { Employment } & 27,793 \
\text { Unemployment } & 1,619 \
\text { Working-age population } & 46,581 \
\hline
\end{array}$$
-The table above shows data reported by the Office for National Statistics for the United Kingdom in September 2000. In September 2000, the unemployment rate is

Accepted Answer

A) 5.5 percent. 
B) 1,619 thousand. 
C) 3.5 percent. 
D) 3.7 percent. 
E) 5.8 percent. 
A) 5.5 percent. 
B) 1,619 thousand. 
C) 3.5 percent. 
D) 3.7 percent. 
E) 5.8 percent.

Question 16

Countries with higher than average unemployment rates have ________ compared to the United States.

Accepted Answer

A) less regulated labor markets 
B) lower levels of technology 
C) higher levels of technology 
D) more generous unemployment benefits and more regulated labor markets 
E) have a higher labor force participation rate 
A) less regulated labor markets 
B) lower levels of technology 
C) higher levels of technology 
D) more generous unemployment benefits and more regulated labor markets 
E) have a higher labor force participation rate

Question 17

Consider the following scenario. Initially the economy has 90 million people working, 10 million people unemployed, and 20 million people not in the labor force. Then prospects for the economy improve. Five million people who previously were not in the labor force now join the 10 million previously unemployed in looking for work. For now, the economy remains with 90 million workers. What happens to the unemployment rate?

Accepted Answer

The unemployment rate rises fr

Question 18

Which type of unemployment arises when changes in technology or international competition change the skills needed to perform jobs or change the location of jobs?

Accepted Answer

A) cyclical 
B) fluctuating 
C) structural 
D) frictional 
E) skill-set 
A) cyclical 
B) fluctuating 
C) structural 
D) frictional 
E) skill-set

Question 19

Full employment occurs when the

Accepted Answer

A) unemployment rate equals the natural unemployment rate. 
B) structural unemployment rate equals the frictional unemployment rate. 
C) natural unemployment rate equals the frictional unemployment rate. 
D) cyclical unemployment rate equals the natural unemployment rate. 
E) structural unemployment rate equals zero. 
A) unemployment rate equals the natural unemployment rate. 
B) structural unemployment rate equals the frictional unemployment rate. 
C) natural unemployment rate equals the frictional unemployment rate. 
D) cyclical unemployment rate equals the natural unemployment rate. 
E) structural unemployment rate equals zero.

Question 20

Explain the relationship(s)between full employment, cyclical unemployment, the natural unemployment rate, and potential GDP.

Accepted Answer

The economy is at full employment when t

In the United States, from 1980 to 2011, the percentage of

In the United States, the percentage of part-time workers who are part time for noneconomic reasons

The unemployment rate equals 100 multiplied by the

Part-time workers are defined as people who are working

During a recession, the percentage workers who are part time for economic reasons

A reduction in unemployment benefits will

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

Joe has been unable to find a job because he lacks the necessary computer skills. Joe is

The unemployment rate is 6 percent. If the population is 300 million, and the number unemployed is 6 million and the number employed is 94 million, what is the size of the labor force?

The unemployment rate equals

Unemployment rates in the United States during the past 60 years

Which of the following correctly describes "frictional unemployment"?

The number of part-time workers for economic reasons during recessions and the number of part-time workers for noneconomic reasons during recessions

Category Number of People (thousands) Employment 27,793 Unemployment 1,619 Working-age population 46,581 -The table above shows data reported by the Office for National Statistics for the United Kingdom in September 2000. In September 2000, the unemployment rate is

Countries with higher than average unemployment rates have ________ compared to the United States.

Which type of unemployment arises when changes in technology or international competition change the skills needed to perform jobs or change the location of jobs?

Full employment occurs when the

Explain the relationship(s)between full employment, cyclical unemployment, the natural unemployment rate, and potential GDP.

Getting Started

The Us and Global Economies

The Economic Problem

Demand and Supply

Elasticities of Demand and Supply

Efficiency and Fairness of Markets

Government Actions in Markets

Global Markets in Action

Externalities: Pollution, Education, and Health Care

Production and Cost

Perfect Competition

Monopoly

Monopolistic Competition and Oligopoly

Gdp: a Measure of Total Production and Income

The Cpi and the Cost of Living

Potential Gdp and Economic Growth

Money and the Monetary System

Aggregate Supply and Aggregate Demand

Fiscal Policy and Monetary Policy

Filters

Exam 15: Jobs and Unemployment

In the United States, from 1980 to 2011, the percentage of

In the United States, the percentage of part-time workers who are part time for noneconomic reasons

The unemployment rate equals 100 multiplied by the

Part-time workers are defined as people who are working

During a recession, the percentage workers who are part time for economic reasons

A reduction in unemployment benefits will

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

Joe has been unable to find a job because he lacks the necessary computer skills. Joe is

The unemployment rate is 6 percent. If the population is 300 million, and the number unemployed is 6 million and the number employed is 94 million, what is the size of the labor force?

The unemployment rate equals

Unemployment rates in the United States during the past 60 years

Which of the following correctly describes "frictional unemployment"?

The number of part-time workers for economic reasons ________ during recessions and the number of part-time workers for noneconomic reasons ________ during recessions

Category Number of People (thousands) Employment 27,793 Unemployment 1,619 Working-age population 46,581 -The table above shows data reported by the Office for National Statistics for the United Kingdom in September 2000. In September 2000, the unemployment rate is

Countries with higher than average unemployment rates have ________ compared to the United States.

Which type of unemployment arises when changes in technology or international competition change the skills needed to perform jobs or change the location of jobs?

Full employment occurs when the

Explain the relationship(s)between full employment, cyclical unemployment, the natural unemployment rate, and potential GDP.

Getting Started

The Us and Global Economies

The Economic Problem

Demand and Supply

Elasticities of Demand and Supply

Efficiency and Fairness of Markets

Government Actions in Markets

Global Markets in Action

Externalities: Pollution, Education, and Health Care

Production and Cost

Perfect Competition

Monopoly

Monopolistic Competition and Oligopoly

Gdp: a Measure of Total Production and Income

The Cpi and the Cost of Living

Potential Gdp and Economic Growth

Money and the Monetary System

Aggregate Supply and Aggregate Demand

Fiscal Policy and Monetary Policy

Filters

The number of part-time workers for economic reasons during recessions and the number of part-time workers for noneconomic reasons during recessions