Question 1

The destruction of manufacturing jobs and workers leaving their jobs to find better ones both contribute to frictional unemployment.

Accepted Answer

A) True 
 B)False

Question 2

Suppose that neither food-service workers nor retail salespeople are unionized. If food-service workers unionize, then the supply of retail salespeople will

Accepted Answer

A)  rise, as will the wages of retail salespeople. 
B)  rise, and the wages of retail salespeople will fall. 
C)  fall, as will the wages of retail salespeople. 
D)  fall, and the wages of retail salespeople will rise. 
A)  rise, as will the wages of retail salespeople. 
B)  rise, and the wages of retail salespeople will fall. 
C)  fall, as will the wages of retail salespeople. 
D)  fall, and the wages of retail salespeople will rise.

Question 3

The Bureau of Labor Statistics counts a member of a surveyed household as an adult if that person is at least

Accepted Answer

A)  14 years old. 
B)  16 years old. 
C)  18 years old. 
D)  21 years old. 
A)  14 years old. 
B)  16 years old. 
C)  18 years old. 
D)  21 years old.

Question 4

Briefly summarize the advantages and disadvantages of unemployment insurance.

Accepted Answer

The main advantage is that unemployment

Question 5

Data show that at least 10 percent of U.S. manufacturing jobs are destroyed every year.

Accepted Answer

A) True 
 B)False

Question 6

Someone who loses his job at a truck factory because the demand for trucks has fallen and the demand for cars has risen, is structurally unemployed.

Accepted Answer

A) True 
 B)False

Question 7

Right-to-work laws allow striking union members to be permanently replaced.

Accepted Answer

A) True 
 B)False

Question 8

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

Accepted Answer

A) True 
 B)False

Question 9

Table 28-11
2010 Labor Data for Tajnia
  
-Refer to Table 28-11. The unemployment rate of Tajnia in 2010 is about 18.4 percent.

Accepted Answer

A) True 
 B)False

Question 10

Unions contribute to

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 11

Almost half of all spells of unemployment end when the unemployed person .

Accepted Answer

leaves the

Question 12

Suppose that some country had an adult population of about 25 million, a labor-force participation rate of 60 percent, and an unemployment rate of 6 percent. How many people were unemployed?

Accepted Answer

A)  0.846 million 
B)  0.9 million 
C)  1.5 million 
D)  6 million 
A)  0.846 million 
B)  0.9 million 
C)  1.5 million 
D)  6 million

Question 13

Sandy has graduated from college and is devoting her time to searching for a job. She has seen plenty of openings but has not yet been offered one that best suits her tastes and skills. Sandy is

Accepted Answer

A)  structurally unemployed. Structural unemployment exists even in the long run. 
B)  structurally unemployed. There is no structural unemployment in the long run. 
C)  frictionally unemployed. Frictional unemployment exists even in the long run. 
D)  frictionally unemployed. There is no frictional unemployment in the long run. 
A)  structurally unemployed. Structural unemployment exists even in the long run. 
B)  structurally unemployed. There is no structural unemployment in the long run. 
C)  frictionally unemployed. Frictional unemployment exists even in the long run. 
D)  frictionally unemployed. There is no frictional unemployment in the long run.

Question 14

Table 28-2
Labor Data for Aridia
  
-Refer to Table 28-2. The labor force of Aridia in 2011 was

Accepted Answer

A)  1,300. 
B)  1,900. 
C)  2,400. 
D)  3,000. 
A)  1,300. 
B)  1,900. 
C)  2,400. 
D)  3,000.

Question 15

Since the 1940's U.S. union membership has

Accepted Answer

A)  fallen. This decline should have reduced structural unemployment. 
B)  fallen. This decline should not have reduced structural unemployment. 
C)  risen. This increase should have raised structural unemployment. 
D)  risen. This increase should not have raised structural unemployment. 
A)  fallen. This decline should have reduced structural unemployment. 
B)  fallen. This decline should not have reduced structural unemployment. 
C)  risen. This increase should have raised structural unemployment. 
D)  risen. This increase should not have raised structural unemployment.

Question 16

Which of the following is not correct?

Accepted Answer

A)  When a union is present in a labor market, wages are determined by the equilibrium of supply and demand. 
B)  Like any cartel, a union is a group of sellers acting together in the hope of exerting their joint market power. 
C)  The process by which unions and firms agree on the terms of employment is called collective bargaining. 
D)  Most workers in the U.S. economy are not members of a union. 
A)  When a union is present in a labor market, wages are determined by the equilibrium of supply and demand. 
B)  Like any cartel, a union is a group of sellers acting together in the hope of exerting their joint market power. 
C)  The process by which unions and firms agree on the terms of employment is called collective bargaining. 
D)  Most workers in the U.S. economy are not members of a union.

Question 17

The Bureau of Labor Statistics is part of the U.S. Department of

Accepted Answer

A)  the Treasury. 
B)  Commerce. 
C)  Labor. 
D)  the Interior. 
A)  the Treasury. 
B)  Commerce. 
C)  Labor. 
D)  the Interior.

Question 18

In June 2009 the Bureau of Labor Statistics reported a U.S. foreign-born population of 35.3 million. Of these, 22.7 million were employed and 1.4 million were unemployed. Based on these numbers what were the unemployment rate and the labor-force participation rate of the foreign-born U.S. population?

Accepted Answer

A)  1.4/35.3 and 22.7/35.3 
B)  1.4/35.3 and 24.1/35.3 
C)  1.4/24.1 and 22.7/24.1 
D)  None of the above is correct. 
A)  1.4/35.3 and 22.7/35.3 
B)  1.4/35.3 and 24.1/35.3 
C)  1.4/24.1 and 22.7/24.1 
D)  None of the above is correct.

Question 19

Figure 28-2  
-Refer to Figure 28-2. What do the two lines in the figure measure?

Accepted Answer

A)  The top line is the labor force participation rate, and the bottom line is the unemployment rate. 
B)  The top line is the labor force participation rates of the college-educated population, and bottom line is the labor force participation rates of the high-school-educated population. 
C)  The top line is the foreign labor force participation rate, and the bottom line is the domestic labor force participation rate. 
D)  The top line is the labor force participation rates of men, and the bottom line is the labor force participation rates of women. 
A)  The top line is the labor force participation rate, and the bottom line is the unemployment rate. 
B)  The top line is the labor force participation rates of the college-educated population, and bottom line is the labor force participation rates of the high-school-educated population. 
C)  The top line is the foreign labor force participation rate, and the bottom line is the domestic labor force participation rate. 
D)  The top line is the labor force participation rates of men, and the bottom line is the labor force participation rates of women.

Question 20

According to 2012 data on the U.S. population, which of the following groups of adults of prime working age ages (25-54) had the highest unemployment rate?

Accepted Answer

A)  white males 
B)  white females 
C)  black males 
D)  black females 
A)  white males 
B)  white females 
C)  black males 
D)  black females

Exam 20: Unemployment

The destruction of manufacturing jobs and workers leaving their jobs to find better ones both contribute to frictional unemployment.

Suppose that neither food-service workers nor retail salespeople are unionized. If food-service workers unionize, then the supply of retail salespeople will

The Bureau of Labor Statistics counts a member of a surveyed household as an adult if that person is at least

Briefly summarize the advantages and disadvantages of unemployment insurance.

Data show that at least 10 percent of U.S. manufacturing jobs are destroyed every year.

Someone who loses his job at a truck factory because the demand for trucks has fallen and the demand for cars has risen, is structurally unemployed.

Right-to-work laws allow striking union members to be permanently replaced.

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

Table 28-11 2010 Labor Data for Tajnia -Refer to Table 28-11. The unemployment rate of Tajnia in 2010 is about 18.4 percent.

Unions contribute to

Almost half of all spells of unemployment end when the unemployed person .

Suppose that some country had an adult population of about 25 million, a labor-force participation rate of 60 percent, and an unemployment rate of 6 percent. How many people were unemployed?

Sandy has graduated from college and is devoting her time to searching for a job. She has seen plenty of openings but has not yet been offered one that best suits her tastes and skills. Sandy is

Table 28-2 Labor Data for Aridia -Refer to Table 28-2. The labor force of Aridia in 2011 was

Since the 1940's U.S. union membership has

Which of the following is not correct?

The Bureau of Labor Statistics is part of the U.S. Department of

Figure 28-2 -Refer to Figure 28-2. What do the two lines in the figure measure?

According to 2012 data on the U.S. population, which of the following groups of adults of prime working age ages (25-54) had the highest 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 Costs of Production

Firms in Competitive Markets

Monopoly

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

Aggregate Demand and Aggregate Supply

The Influence of Monetary and Fiscal Policy on Aggregate Demand

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