Exam 9: Unemployment and Inflation

Table 9-12 -Refer to Table 9-12.Consider a simple economy that produces only three products: burritos,flashlights,and golf balls.Use the information in the table to calculate the inflation rate for 2013,as measured by the consumer price index.

In the United States,the typical person who has lost his or her job finds another one in a few months except during severe recessions.

Which of the following describes actual trends in the U.S.labor force participation rate?

Table 9-9 -Refer to Table 9-9.Suppose that the data in the table above reflect the price levels in the economy.Given that data,we can say that the cost of living rose by ________ between 2012 and 2013?

Table 9-14 The table above reports the nominal average hourly earnings in private industry and the consumer price index for 1965 and 2010. -Refer to Table 9-14.The percentage change in real average earnings from 1965 to 2010 equals

Deflation occurs when

The unemployment rate is an important economic statistic that can tell us about the health of the economy.If the unemployment rate turns out to be high or higher than anticipated,we would expect

When prices are rising,which of the following will be true?

The Bureau of Labor Statistics would categorize a person as ________ if they were temporarily away from their job because they were ill.

The stated interest rate on a loan is the

During the 1990s,Japan experienced periods of deflation and very low nominal interest rates,approaching zero percent.Why would lenders of money agree to a nominal interest rate of almost zero?

A lumberjack loses his job because timber cutting restrictions were imposed by the EPA to protect the spotted owl habitat.This lumberjack would be

The increased generosity of unemployment insurance programs in Canada as compared to the United States should

Suppose you lend $1,000 at an interest rate of 10 percent over the next year.If the expected real interest rate at the beginning of the loan contract is 4 percent,then what rate of inflation over the upcoming year would be most beneficial to you as the lender? An inflation rate

Efficiency wages cause unemployment because

The Bureau of Labor Statistics has taken several steps to reduce the bias in the consumer price index.Which of the following is not one of the steps taken to reduce the bias?

Which of the following would increase the unemployment rate?

The economy has gone into a recession.You have majored in computer science and,because of the recession,have difficulty in finding a job.Should you go back to school and get a second major?

The inflation rate measures the average prices of goods and services in the economy.

Table 9-18 -Refer to Table 9-18.Looking at the table above,what is the rate of growth of real average hourly earnings from 2012 to 2013?