Exam 18: Introduction to Macroeconomics: Unemployment, Inflation, and Economic Fluctuations

Frictional unemployment is the temporary unemployment that results from the search time that occurs when people are searching for suitable jobs and firms are looking for suitable workers.

What are the three major types of unemployment? What are their causes?

High rates of unemployment are undesirable because:

Unemployment that results from an economy-wide downturn is called:

If the number of employed persons equals 180 million,the number of unemployed persons equals 15 million,and the number of persons over age 16 in the population equals 210 million,the unemployment rate equals ____ and the labor force participation rate equals ____.

The NBER determined that the U.S.economy experienced a recession that officially began in December 2007 and ended in June of 2009.

Bill looked for work for six months but could not find a job to his liking.He now spends his time at the beach.For purposes of employment he is considered:

The construction of a price index is complicated by several factors,including changes in the quality of goods and services over time,the introduction of new products,and the disappearance of old,outmoded products.

Fred has lost his factory job,replaced by welding robots,and soon plans to go to technical school to learn computer repair because he cannot find a similar job to the one he lost.The type of unemployment facing Fred is:.

Why does the term full employment imply an unemployment rate greater than zero? Discuss your answer in terms of the types of unemployment.

The category of unemployment that is a byproduct of geographic and occupational mobility and generally considered to be a limited problem is:

Discuss the costs associated with high inflation.

A federal program aimed at retraining the unemployed workers of the declining auto and steel industries is designed to reduce which type of unemployment?

The Employment Act of 1946 dictated the U.S.goal of maintaining high employment through high economic growth but did not specify any goals with regard to the price level.

The real interest rate equals:

If the nominal interest rate is 6% and the inflation rate is 3%,the real interest rate is

Suppose you live in a community of 100 people where everyone who is able to do so seeks work.If 80 people are over 16 years old and 72 of them are employed,what is the unemployment rate in this community?

Each person in the population can be classified as employed or unemployed.

An unanticipated increase in inflation will:

Which of the following is false?