Question 1

Unemployment that exists because it takes time for workers to search for the jobs that suit them best is

Accepted Answer

A)  frictional unemployment,which contributes to the natural rate of unemployment. 
B)  frictional unemployment,which does not contribute to the natural rate of unemployment. 
C)  structural unemployment,which contributes to the natural rate of unemployment. 
D)  structural unemployment,which does not contribute to the natural rate of unemployment. 
A)  frictional unemployment,which contributes to the natural rate of unemployment. 
B)  frictional unemployment,which does not contribute to the natural rate of unemployment. 
C)  structural unemployment,which contributes to the natural rate of unemployment. 
D)  structural unemployment,which does not contribute to the natural rate of unemployment.

Question 2

More than 30 percent of U.S.workers leave their jobs in a typical month.

Accepted Answer

A) True 
 B)False

Question 3

Wages in excess of their equilibrium level help explain

Accepted Answer

A)  frictional but not structural unemployment. 
B)  structural but not frictional unemployment. 
C)  both frictional and structural unemployment. 
D)  neither frictional nor structural unemployment. 
A)  frictional but not structural unemployment. 
B)  structural but not frictional unemployment. 
C)  both frictional and structural unemployment. 
D)  neither frictional nor structural unemployment.

Question 4

The unemployed who quit their jobs,were fired for cause,or just entered the labor force are not eligible for unemployment insurance.

Accepted Answer

A) True 
 B)False

Question 5

The Bureau of Labor Statistics' U-5 measure of joblessness includes marginally attached workers.

Accepted Answer

A) True 
 B)False

Question 6

Suppose that telemarketers are not unionized.If they unionize,then the supply of labor in other sectors of the economy will

Accepted Answer

A)  decrease,raising wages in industries that are not unionized. 
B)  decrease,reducing wages in industries that are not unionized. 
C)  increase,raising wages in industries that are not unionized. 
D)  increase,reducing wages in industries that are not unionized. 
A)  decrease,raising wages in industries that are not unionized. 
B)  decrease,reducing wages in industries that are not unionized. 
C)  increase,raising wages in industries that are not unionized. 
D)  increase,reducing wages in industries that are not unionized.

Question 7

Table 28-1
Labor Data for Wrexington
  
-Refer to Table 28-1.The labor force of Wrexington in 2006 was

Accepted Answer

A)  1600 
B)  1800 
C)  3000 
D)  3200 
A)  1600 
B)  1800 
C)  3000 
D)  3200

Question 8

If all workers and all jobs were the same such that all workers were equally well suited for all jobs,then job search would not be a problem.

Accepted Answer

A) True 
 B)False

Question 9

Unions contribute to

Accepted Answer

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

Question 10

Which of the following causes of unemployment is associated with a wage rate above the market equilibrium level?

Accepted Answer

A)  minimum-wage laws 
B)  unions 
C)  efficiency wages 
D)  All of the above are correct. 
A)  minimum-wage laws 
B)  unions 
C)  efficiency wages 
D)  All of the above are correct.

Question 11

Data show that at least 20 percent of U.S.manufacturing jobs are destroyed every year.

Accepted Answer

A) True 
 B)False

Question 12

Table 28-2
2009 Labor Data for Wrexington
  
-Refer to Table 28-2.How many people were employed in Wrexington in 2009?

Accepted Answer

A)  9,600 
B)  10,600 
C)  11,000 
D)  11,200 
A)  9,600 
B)  10,600 
C)  11,000 
D)  11,200

Question 13

The unemployment that results from the quantity of labor supplied exceeding the quantity demanded is called frictional unemployment.

Accepted Answer

A) True 
 B)False

Question 14

Within the U.S.population,blacks ages 20 and older have similar rates of labor-force participation as whites.

Accepted Answer

A) True 
 B)False

Question 15

The Bureau of Labor Statistics defines the unemployment rate as the percentage of the labor force that is unemployed.

Accepted Answer

A) True 
 B)False

Question 16

The Bureau of Labor Statistics defines the unemployment rate as the percentage of the adult population that is unemployed.

Accepted Answer

A) True 
 B)False

Question 17

The Bureau of Labor Statistics reported in 2005 that there were 50.40 million people over age 25 whose highest level of education was some college or an associate degree,33.86 million of whom were employed and 1.27 million of whom were unemployed.What were the labor-force participation rate and the unemployment rate for this group?

Accepted Answer

A)  67.2% and 2.5% 
B)  67.2% and 3.6% 
C)  69.7% and 2.5% 
D)  69.7% and 3.6% 
A)  67.2% and 2.5% 
B)  67.2% and 3.6% 
C)  69.7% and 2.5% 
D)  69.7% and 3.6%

Question 18

Most spells of unemployment are long,and most unemployment observed at any given time is short-term.

Accepted Answer

A) True 
 B)False

Question 19

Table 28-4
  
-Refer to Table 28-4.What is the U-3 measure of labor underutilization?

Accepted Answer

A)  4.7 percent 
B)  6.2 percent 
C)  7.0 percent 
D)  10.9 percent 
A)  4.7 percent 
B)  6.2 percent 
C)  7.0 percent 
D)  10.9 percent

Question 20

The unemployment rate reported by the Bureau of Labor Statistics clearly understates the true unemployment rate.

Accepted Answer

A) True 
 B)False

Exam 28: Unemployment

Unemployment that exists because it takes time for workers to search for the jobs that suit them best is

More than 30 percent of U.S.workers leave their jobs in a typical month.

Wages in excess of their equilibrium level help explain

The unemployed who quit their jobs,were fired for cause,or just entered the labor force are not eligible for unemployment insurance.

The Bureau of Labor Statistics' U-5 measure of joblessness includes marginally attached workers.

Suppose that telemarketers are not unionized.If they unionize,then the supply of labor in other sectors of the economy will

Table 28-1 Labor Data for Wrexington -Refer to Table 28-1.The labor force of Wrexington in 2006 was

If all workers and all jobs were the same such that all workers were equally well suited for all jobs,then job search would not be a problem.

Unions contribute to

Which of the following causes of unemployment is associated with a wage rate above the market equilibrium level?

Data show that at least 20 percent of U.S.manufacturing jobs are destroyed every year.

Table 28-2 2009 Labor Data for Wrexington -Refer to Table 28-2.How many people were employed in Wrexington in 2009?

The unemployment that results from the quantity of labor supplied exceeding the quantity demanded is called frictional unemployment.

Within the U.S.population,blacks ages 20 and older have similar rates of labor-force participation as whites.

The Bureau of Labor Statistics defines the unemployment rate as the percentage of the labor force that is unemployed.

The Bureau of Labor Statistics defines the unemployment rate as the percentage of the adult population that is unemployed.

Most spells of unemployment are long,and most unemployment observed at any given time is short-term.

Table 28-4 -Refer to Table 28-4.What is the U-3 measure of labor underutilization?

The unemployment rate reported by the Bureau of Labor Statistics clearly understates the true unemployment rate.

Ten Principles of Economics

Thinking Like an Economist

Interdependence and the Gains From Trade

The Market Forces of Supply and Demand

Elasticity and Its Application

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

Monopolistic Competition

Oligopoly

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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