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

Question 2

Cyclical unemployment

Accepted Answer

A) is always a constant amount of unemployment. 
B) is higher during an expansion. 
C) decreases during a recession. 
D) fluctuates over the business cycle. 
E) fluctuates but not in response to the business cycle. 
A) is always a constant amount of unemployment. 
B) is higher during an expansion. 
C) decreases during a recession. 
D) fluctuates over the business cycle. 
E) fluctuates but not in response to the business cycle.

Question 3

During 2009, General Motors announced that it would close its Saturn facilities in the United States because of the foreign competition it faced. This corporate move

Accepted Answer

A) increased structural unemployment. 
B) increased avoidable unemployment. 
C) increased cyclical unemployment. 
D) had no impact on unemployment. 
E) decreased frictional unemployment. 
A) increased structural unemployment. 
B) increased avoidable unemployment. 
C) increased cyclical unemployment. 
D) had no impact on unemployment. 
E) decreased frictional unemployment.

Question 4

The labor force consists of

Accepted Answer

A) the number of people who are employed. 
B) the number of people who unemployed and who are actively seeking work. 
C) the number of people in the working-age population who are employed or unemployed. 
D) all people in the population aged 16 and over who are not in jail, a hospital, or an institution or in the U.S. Armed Forces. 
E) the number of people who are employed minus the number of the people who are unemployed. 
A) the number of people who are employed. 
B) the number of people who unemployed and who are actively seeking work. 
C) the number of people in the working-age population who are employed or unemployed. 
D) all people in the population aged 16 and over who are not in jail, a hospital, or an institution or in the U.S. Armed Forces. 
E) the number of people who are employed minus the number of the people who are unemployed.

Question 5

In measuring the unemployment rate, part-time workers are ________, and discouraged workers are ________.

Accepted Answer

A) included as employed; included as unemployed 
B) excluded; included as unemployed 
C) included as employed; excluded 
D) excluded; excluded 
E) included as unemployed if they are involuntary part-time workers; excluded 
A) included as employed; included as unemployed 
B) excluded; included as unemployed 
C) included as employed; excluded 
D) excluded; excluded 
E) included as unemployed if they are involuntary part-time workers; excluded

Question 6

When the economy is at full employment,

Accepted Answer

A) the natural unemployment rate equals zero. 
B) the amount of cyclical unemployment equals zero. 
C) the amount of structural unemployment equals zero. 
D) there is no unemployment. 
E) the amount of frictional unemployment equals zero. 
A) the natural unemployment rate equals zero. 
B) the amount of cyclical unemployment equals zero. 
C) the amount of structural unemployment equals zero. 
D) there is no unemployment. 
E) the amount of frictional unemployment equals zero.

Question 7

If the Federal government expands its support of education and retraining of workers who have been unemployed for a relatively long length of time, which type of unemployment would the education and retraining most likely be targeted?

Accepted Answer

A) Cyclical 
B) Government 
C) Structural 
D) Frictional 
E) Discouraged 
A) Cyclical 
B) Government 
C) Structural 
D) Frictional 
E) Discouraged

Question 8

The Bureau of Labor Statistics (BLS)compiles information about employment by

Accepted Answer

A) performing a census of every household in the nation. 
B) performing a quarterly survey 6,000,000 households. 
C) performing a monthly survey of 60,000 households. 
D) determining the average estimate of labor market specialists around the nation. 
E) contacting each of the 50 states' Departments of Labor. 
A) performing a census of every household in the nation. 
B) performing a quarterly survey 6,000,000 households. 
C) performing a monthly survey of 60,000 households. 
D) determining the average estimate of labor market specialists around the nation. 
E) contacting each of the 50 states' Departments of Labor.

Question 9

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 10

In order to obtain the data used to calculate the unemployment rate, the Bureau of Labor Statistics

Accepted Answer

A) adds the number of people collecting unemployment insurance from each state. 
B) adds the state unemployment claims reports. 
C) uses a survey from 60,000 households. 
D) adds together all the reports of layoffs from businesses. 
E) uses a survey from 160,000 firms. 
A) adds the number of people collecting unemployment insurance from each state. 
B) adds the state unemployment claims reports. 
C) uses a survey from 60,000 households. 
D) adds together all the reports of layoffs from businesses. 
E) uses a survey from 160,000 firms.

Question 11

A marginally attached worker is

Accepted Answer

A) a person who is not happy with his or her job. 
B) someone who works part-time more than 25 hours per week but wants full-time work. 
C) someone who does not have a job but is available and willing to work and has made specific but unsuccessful efforts to find a job during the past 4 weeks. 
D) someone who does not have a job but is available and willing to work but has not made specific efforts to find a job during the past 4 weeks. 
E) another name for an unemployed worker. 
A) a person who is not happy with his or her job. 
B) someone who works part-time more than 25 hours per week but wants full-time work. 
C) someone who does not have a job but is available and willing to work and has made specific but unsuccessful efforts to find a job during the past 4 weeks. 
D) someone who does not have a job but is available and willing to work but has not made specific efforts to find a job during the past 4 weeks. 
E) another name for an unemployed worker.

Question 12

People over the age 16 with full-time jobs are considered to be

Accepted Answer

A) unemployed. 
B) not in the labor force. 
C) in the labor force and employed. 
D) in the labor force unemployed. 
E) in the working-age population only because they have full-time jobs. 
A) unemployed. 
B) not in the labor force. 
C) in the labor force and employed. 
D) in the labor force unemployed. 
E) in the working-age population only because they have full-time jobs.

Question 13

$$\begin{array} { l c } 
 { \text { Category } } & \begin{array} { c } 
\text { Number of people } \
\text { (millions) }
\end{array} \
\hline \text { Total population } & 250 \
\text { Working-age population } & 160 \
\text { Labor force } & 120 \
\text { Part-time workers } & 15 \
\text { Full-time workers } & 100 \
\text { Discouraged workers } & 2
\end{array}$$
-Using the table above, the unemployment rate is

Accepted Answer

A) 5.13 percent. 
B) 5.88 percent. 
C) 6.45 percent. 
D) 6.90 percent. 
E) 5.71 percent. 
A) 5.13 percent. 
B) 5.88 percent. 
C) 6.45 percent. 
D) 6.90 percent. 
E) 5.71 percent.

Question 14

How does the unemployment rate change in a recession and in an expansion?

Accepted Answer

During a recession, the unempl

Question 15

In the United States, the percentage of part-time workers who would like full-time work

Accepted Answer

A) increases in recessions and decreases in expansions. 
B) changes very little from expansion to recession. 
C) in 2011 was almost 100 percent of all part-time workers. 
D) Both answers A and C are correct. 
E) Both answers B and C are correct. 
A) increases in recessions and decreases in expansions. 
B) changes very little from expansion to recession. 
C) in 2011 was almost 100 percent of all part-time workers. 
D) Both answers A and C are correct. 
E) Both answers B and C are correct.

Question 16

An unpaid worker in a family business is classified as

Accepted Answer

A) not in the labor force. 
B) employed no matter how many hours the person worked in the previous week. 
C) unemployed no matter how many hours the person worked in the previous week. 
D) employed if the person worked at least 15 hours in the previous week. 
E) unemployed only if the person worked no hours in the previous week. 
A) not in the labor force. 
B) employed no matter how many hours the person worked in the previous week. 
C) unemployed no matter how many hours the person worked in the previous week. 
D) employed if the person worked at least 15 hours in the previous week. 
E) unemployed only if the person worked no hours in the previous week.

Question 17

$$\begin{array} { l c } 
\text { Category } & \text { Number of people } \
\hline \text { Labor force } & 10,000 \
\text { Employed } & 9,000 \
\text { Under } 16 \text { years of age } & 2,000 \
\text { Working-age population } & 12,000
\end{array}$$
-In the table above, the number of unemployed people is

Accepted Answer

A) 2,000. 
B) 1,000. 
C) 1,100. 
D) 11,000. 
E) 3,000. 
A) 2,000. 
B) 1,000. 
C) 1,100. 
D) 11,000. 
E) 3,000.

Question 18

When the unemployment rate is greater than the natural unemployment rate, real GDP is

Accepted Answer

A) greater than potential GDP. 
B) less than potential GDP. 
C) unrelated to potential GDP. 
D) equal to potential GDP. 
E) greater than full employment GDP. 
A) greater than potential GDP. 
B) less than potential GDP. 
C) unrelated to potential GDP. 
D) equal to potential GDP. 
E) greater than full employment GDP.

Question 19

Can frictional unemployment ever be totally eliminated?
 Explain your answer.

Accepted Answer

Frictional unemployment arises from norm

Question 20

When the economy is at full employment,

Accepted Answer

A) 100 percent of the labor force is employed. 
B) there is no structural or cyclical unemployment. 
C) there is no cyclical unemployment. 
D) there is only frictional unemployment. 
E) the natural unemployment rate equals zero. 
A) 100 percent of the labor force is employed. 
B) there is no structural or cyclical unemployment. 
C) there is no cyclical unemployment. 
D) there is only frictional unemployment. 
E) the natural unemployment rate equals zero.

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

Cyclical unemployment

During 2009, General Motors announced that it would close its Saturn facilities in the United States because of the foreign competition it faced. This corporate move

The labor force consists of

In measuring the unemployment rate, part-time workers are , and discouraged workers are .

When the economy is at full employment,

If the Federal government expands its support of education and retraining of workers who have been unemployed for a relatively long length of time, which type of unemployment would the education and retraining most likely be targeted?

The Bureau of Labor Statistics (BLS)compiles information about employment by

The unemployment rate is the

In order to obtain the data used to calculate the unemployment rate, the Bureau of Labor Statistics

A marginally attached worker is

People over the age 16 with full-time jobs are considered to be

Category Number of people (millions) Total population 250 Working-age population 160 Labor force 120 Part-time workers 15 Full-time workers 100 Discouraged workers 2 -Using the table above, the unemployment rate is

How does the unemployment rate change in a recession and in an expansion?

In the United States, the percentage of part-time workers who would like full-time work

An unpaid worker in a family business is classified as

Category Number of people Labor force 10,000 Employed 9,000 Under 16 years of age 2,000 Working-age population 12,000 -In the table above, the number of unemployed people is

When the unemployment rate is greater than the natural unemployment rate, real GDP is

Can frictional unemployment ever be totally eliminated? Explain your answer.

When the economy is at full employment,

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

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

Cyclical unemployment

During 2009, General Motors announced that it would close its Saturn facilities in the United States because of the foreign competition it faced. This corporate move

The labor force consists of

In measuring the unemployment rate, part-time workers are ________, and discouraged workers are ________.

When the economy is at full employment,

If the Federal government expands its support of education and retraining of workers who have been unemployed for a relatively long length of time, which type of unemployment would the education and retraining most likely be targeted?

The Bureau of Labor Statistics (BLS)compiles information about employment by

The unemployment rate is the

In order to obtain the data used to calculate the unemployment rate, the Bureau of Labor Statistics

A marginally attached worker is

People over the age 16 with full-time jobs are considered to be

Category Number of people (millions) Total population 250 Working-age population 160 Labor force 120 Part-time workers 15 Full-time workers 100 Discouraged workers 2 -Using the table above, the unemployment rate is

How does the unemployment rate change in a recession and in an expansion?

In the United States, the percentage of part-time workers who would like full-time work

An unpaid worker in a family business is classified as

Category Number of people Labor force 10,000 Employed 9,000 Under 16 years of age 2,000 Working-age population 12,000 -In the table above, the number of unemployed people is

When the unemployment rate is greater than the natural unemployment rate, real GDP is

Can frictional unemployment ever be totally eliminated? Explain your answer.

When the economy is at full employment,

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

In measuring the unemployment rate, part-time workers are , and discouraged workers are .