Question 1

Most job search in the U.S. economy takes place with the help of the government.

Accepted Answer

A) True 
 B)False

Question 2

Of the following groups, who is eligible for unemployment insurance benefits?

Accepted Answer

A)  the unemployed who quit their jobs 
B)  the unemployed who were laid off because their previous employers no longer needed their skills 
C)  the unemployed who were fired for cause 
D)  the unemployed who just entered the labor force 
A)  the unemployed who quit their jobs 
B)  the unemployed who were laid off because their previous employers no longer needed their skills 
C)  the unemployed who were fired for cause 
D)  the unemployed who just entered the labor force

Question 3

Table 28-3
2009 Labor Data for Baltivia  
-Refer to Table 28-3. How many people were in Baltivia's labor force in 2009?

Accepted Answer

A)  11,000 
B)  12,600 
C)  13,380 
D)  20,000 
A)  11,000 
B)  12,600 
C)  13,380 
D)  20,000

Question 4

In the long run the unemployment rate equals

Accepted Answer

A)  zero. 
B)  the cyclical rate of unemployment. 
C)  the natural rate of unemployment. 
D)  the sum of the cyclical and natural rate of unemployment. 
A)  zero. 
B)  the cyclical rate of unemployment. 
C)  the natural rate of unemployment. 
D)  the sum of the cyclical and natural rate of unemployment.

Question 5

Table 28-4
2010 Labor Data for Adults (ages 16 and older) in Meditor  
-Refer to Table 28-4. What is the adult male population in Meditor?

Accepted Answer

A)  50 million 
B)  90 million 
C)  130 million 
D)  135 million 
A)  50 million 
B)  90 million 
C)  130 million 
D)  135 million

Question 6

Advocates of government-run employment agencies and public training programs believe they make job search more efficient.

Accepted Answer

A) True 
 B)False

Question 7

Minimum wages are the predominant reason for unemployment in the U.S. economy.

Accepted Answer

A) True 
 B)False

Question 8

Wanda quit her job because she was unhappy at work. Arnold was fired from his landscaping job because his company was downsizing. Who is eligible for unemployment insurance benefits?

Accepted Answer

A)  both Wanda and Arnold 
B)  Wanda but not Arnold 
C)  Arnold but not Wanda 
D)  neither Wanda nor Arnold 
A)  both Wanda and Arnold 
B)  Wanda but not Arnold 
C)  Arnold but not Wanda 
D)  neither Wanda nor Arnold

Question 9

Figure 28-4  
-Refer to Figure 28-4. If the government imposes a minimum wage of $3, how many workers will be unemployed?

Accepted Answer

A)  0 
A)  2,000 
B)  4,000 
C)  6,000 
A)  0 
A)  2,000 
B)  4,000 
C)  6,000

Question 10

Which of the following is a source of frictional unemployment?

Accepted Answer

A)  changes in the composition of demand among industries or regions 
B)  minimum wages 
C)  labor unions 
D)  None of the above is correct. 
A)  changes in the composition of demand among industries or regions 
B)  minimum wages 
C)  labor unions 
D)  None of the above is correct.

Question 11

The labor force equals the

Accepted Answer

A)  number of people employed. 
B)  number of people employed plus the number of people unemployed. 
C)  number of people employed plus the number of people unemployed plus teenagers between ages 14 and 16 who work at least 10 hours a week. 
D)  adult population. 
A)  number of people employed. 
B)  number of people employed plus the number of people unemployed. 
C)  number of people employed plus the number of people unemployed plus teenagers between ages 14 and 16 who work at least 10 hours a week. 
D)  adult population.

Question 12

Which of the following is not correct?

Accepted Answer

A)  Frictional unemployment is inevitable in a dynamic economy. 
B)  Although the unemployment created by sectoral shifts is unfortunate, in the long run such changes lead to higher productivity and higher living standards. 
C)  At least 10 percent of U.S. manufacturing jobs are destroyed every year. 
D)  More than 13 percent of U.S. workers leave their jobs in a typical month. 
A)  Frictional unemployment is inevitable in a dynamic economy. 
B)  Although the unemployment created by sectoral shifts is unfortunate, in the long run such changes lead to higher productivity and higher living standards. 
C)  At least 10 percent of U.S. manufacturing jobs are destroyed every year. 
D)  More than 13 percent of U.S. workers leave their jobs in a typical month.

Question 13

U.S. Department of Labor data show that minimum-wage workers tend to be young, less educated, more likely to be working part time, and concentrated in the leisure and hospitality industry.

Accepted Answer

A) True 
 B)False

Question 14

Cyclical unemployment refers to the year-to-year fluctuations in unemployment around its natural rate.

Accepted Answer

A) True 
 B)False

Question 15

A typical American worker covered by unemployment insurance receives 50 percent of his former wages for 52 weeks.

Accepted Answer

A) True 
 B)False

Question 16

Table 28-6  
-Refer to Table 28-6. What is the U-4 measure of labor underutilization?

Accepted Answer

A)  6.5% 
B)  6.9% 
C)  7.0% 
D)  17.9% 
A)  6.5% 
B)  6.9% 
C)  7.0% 
D)  17.9%

Question 17

Table 28-6  
-Refer to Table 28-6. What is the U-2 measure of labor underutilization?

Accepted Answer

A)  1.5% 
B)  3.1% 
C)  4.7% 
D)  6.2% 
A)  1.5% 
B)  3.1% 
C)  4.7% 
D)  6.2%

Question 18

Causes of the decline in the U.S. men's labor­force participation rate over the past several decades include young men now staying in school longer than their fathers and grandfathers did, older men now retiring earlier and living longer, and more fathers now staying at home to raise their children.

Accepted Answer

A) True 
 B)False

Question 19

How does the government measure the economy's rate of unemployment?

Accepted Answer

The unemployment rat

Question 20

Unemployment insurance causes workers to be less likely to seek guarantees of job security when they negotiate with employers over the terms of employment.

Accepted Answer

A) True 
 B)False

Exam 28: Unemployment

Most job search in the U.S. economy takes place with the help of the government.

Of the following groups, who is eligible for unemployment insurance benefits?

Table 28-3 2009 Labor Data for Baltivia -Refer to Table 28-3. How many people were in Baltivia's labor force in 2009?

In the long run the unemployment rate equals

Table 28-4 2010 Labor Data for Adults (ages 16 and older) in Meditor -Refer to Table 28-4. What is the adult male population in Meditor?

Advocates of government-run employment agencies and public training programs believe they make job search more efficient.

Minimum wages are the predominant reason for unemployment in the U.S. economy.

Wanda quit her job because she was unhappy at work. Arnold was fired from his landscaping job because his company was downsizing. Who is eligible for unemployment insurance benefits?

Figure 28-4 -Refer to Figure 28-4. If the government imposes a minimum wage of $3, how many workers will be unemployed? A) 0

Which of the following is a source of frictional unemployment?

The labor force equals the

Which of the following is not correct?

U.S. Department of Labor data show that minimum-wage workers tend to be young, less educated, more likely to be working part time, and concentrated in the leisure and hospitality industry.

Cyclical unemployment refers to the year-to-year fluctuations in unemployment around its natural rate.

A typical American worker covered by unemployment insurance receives 50 percent of his former wages for 52 weeks.

Table 28-6 -Refer to Table 28-6. What is the U-4 measure of labor underutilization?

Table 28-6 -Refer to Table 28-6. What is the U-2 measure of labor underutilization?

How does the government measure the economy's rate of unemployment?

Unemployment insurance causes workers to be less likely to seek guarantees of job security when they negotiate with employers over the terms of employment.

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

Six Debates Over Macroeconomic Policy

Filters