Question 1

In 2014 in the United Kingdom, the adult population was about 65 million, the labour force participation rate was 62percent, and the unemployment rate was 5.7 percent. What was the number of people unemployed?

Accepted Answer

A)   0.7 million
B)   1.7 million
C)   2.3 million
D)   6.5 millionE) A) and B)
F) C) and D)

Question 2

In Canada in recent years, how does the unemployment rate among those aged 15 to 24 compare with that of older adults?

Accepted Answer

A)   less than that of older adults
B)   about the same as that of older adults
C)   much higher than that of older adults
D)   approximately half that of older adultsE) A) and C)
F) None of the above

Question 3

Consider an economy where population increases, which in turn causes both the demand for goods and services and the supply of labour to increase.
a. In a labour supply and demand diagram, analyze the effects of the increase in population on the equilibrium wage and employment.
b. What happens to wage and unemployment if a minimum-wage law exists?

Accepted Answer

a. The increase in demand for goods and ...

Question 4

Cynthia is collecting unemployment insurance benefits. To continue to receive her benefits, she must be looking for work; however, she only applies at places where she is unlikely to be hired because she doesn't really want to work. People like Cynthia make the reported unemployment rate less than the true rate of unemployment.

Accepted Answer

A) True 
 B)False

Question 5

According to Statistics Canada data, which category had the highest percentage of the labour force in 2014?

Accepted Answer

A)   unemployed 5 to 13 weeks
B)   unemployed 14 to 25 weeks
C)   unemployed 26 to 52 weeks
D)   unemployed more than 52 weeksE) A) and B)
F) None of the above

Question 6

In 2009, Canada was in a serious recession. By 2013, Canada was experiencing a strong economic recovery. How did employment growth and gross job creation compare between 2009 and 2013?

Accepted Answer

A)   Both employment growth and job creation were smaller in 2009.
B)   Employment growth was the same in both years but job creation was smaller in 2009.
C)   Employment growth was smaller in 2009 but job creation was larger in 2009.
D)   Employment growth was smaller in 2009 but job creation was the same in both years.E) None of the above
F) A) and B)

Question 7

Which of the following best defines gross job creation?

Accepted Answer

A)   the number of jobs created by new firms less jobs lost in established firms in a given year
B)   the sum of the increase in the number of jobs across all new and established firms in a given year
C)   the increase in the number of jobs created by new firms in a given year
D)   the increase in the number of jobs created by established firms in a given yearE) All of the above
F) C) and D)

Question 8

Table 9-1
This table shows the 2013 data for males and females aged 15 and over in the country of Bolivar. 
-Refer to the Table 9-1. What is the adult unemployment rate in Bolivar?

Accepted Answer

A)   4.12 percent
B)   7.4 percent
C)   11.11 percent
D)   12.50 percentE) A) and B)
F) C) and D)

Question 9

What determines the period for which an unemployed person can collect EI benefits?

Accepted Answer

A)   the number of years the person has worked prior to applying for EI
B)   the average income in the region
C)   the person's qualifications
D)   the unemployment rate in the regionE) B) and D)
F) A) and D)

Question 10

Which province has the highest percentage of unionized workers?

Accepted Answer

A)   Ontario
B)   Newfoundland and Labrador
C)   British Columbia
D)   QuebecE) A) and C)
F) B) and C)

Question 11

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

Accepted Answer

A) True 
 B)False

Question 12

What is most likely to cause frictional unemployment?

Accepted Answer

A)   workers leaving the labour force
B)   an economy in recession
C)   an increase in population
D)   changes in the composition of demand among industries or regionsE) All of the above
F) A) and B)

Question 13

Employment insurance reduces hardships of unemployment but also increases the amount of structural unemployment.

Accepted Answer

A) True 
 B)False

Question 14

Tara has just finished school, but she is going to roam around the country awhile before she starts looking for work. Which statement best characterizes the changes that occur in labour statistics?

Accepted Answer

A)   The unemployment rate increases, and the labour-force participation rate increases.
B)   The unemployment rate is unaffected, and the labour-force participation rate is unaffected.
C)   The unemployment rate increases, and the labour-force participation rate decreases.
D)   The unemployment rate increases, and the labour-force participation rate is unaffected.E) All of the above
F) A) and B)

Question 15

Regarding the categories of unemployment, which statement best describes how the effect of sectoral changes compares to the effect of firms paying higher-than-equilibrium wages?

Accepted Answer

A)   Sectoral changes create frictional unemployment, while firms paying wages above equilibrium create structural unemployment.
B)   Sectoral changes create structural unemployment, while firms paying wages above equilibrium create frictional unemployment.
C)   Sectoral changes and firms paying wages above equilibrium both create structural unemployment.
D)   Sectoral changes and firms paying wages above equilibrium both create frictional unemployment.E) A) and B)
F) B) and D)

Question 16

When unions raise wages in some sectors of the economy, what happens to the supply of labour in other sectors of the economy?

Accepted Answer

A)   It decreases, raising wages in industries that are not unionized.
B)   It decreases, reducing wages in industries that are not unionized.
C)   It increases, raising wages in industries that are not unionized.
D)   It increases, reducing wages in industries that are not unionized.E) A) and D)
F) C) and D)

Question 17

In which situation would Statistics Canada count a person as unemployed?

Accepted Answer

A)   when that person is not in the labour force
B)   when that person is not looking for work
C)   when that person is under the age of 15
D)   when that person is age 15 or over and looking for workE) None of the above
F) All of the above

Question 18

What was the labour-force participation rate of men just after World War II?

Accepted Answer

A)   about 68%
B)   about 75%
C)   about 80%
D)   about 84%E) None of the above
F) B) and D)

Question 19

How is a college student who is not working or looking for a job counted?

Accepted Answer

A)   as neither employed nor part of the labour force
B)   as unemployed and in the labour force
C)   as unemployed, but not in the labour force
D)   as employed and in the labour forceE) A) and D)
F) B) and C)

Question 20

In 1914, Henry Ford began paying his workers $5 per day, about twice the going wage. As a result, turnover and absenteeism fell, and productivity and profits rose.

Accepted Answer

A) True 
 B)False

Exam 9: Unemployment and Its Natural Rate

Table 9-1 This table shows the 2013 data for males and females aged 15 and over in the country of Bolivar. -Refer to the Table 9-1. What is the adult unemployment rate in Bolivar?

Correct Answer
verified

What is most likely to cause frictional unemployment?

Correct Answer
verified

In 1914, Henry Ford began paying his workers $5 per day, about twice the going wage. As a result, turnover and absenteeism fell, and productivity and profits rose.

Correct Answer
verified

In 2014 in the United Kingdom, the adult population was about 65 million, the labour force participation rate was 62percent, and the unemployment rate was 5.7 percent. What was the number of people unemployed?

Correct Answer
verified

Which province has the highest percentage of unionized workers?

Correct Answer
verified

According to Statistics Canada data, which category had the highest percentage of the labour force in 2014?

Correct Answer
verified

In Canada in recent years, how does the unemployment rate among those aged 15 to 24 compare with that of older adults?

Correct Answer
verified

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

Correct Answer
verified

Correct Answer
verified

Regarding the categories of unemployment, which statement best describes how the effect of sectoral changes compares to the effect of firms paying higher-than-equilibrium wages?

Correct Answer
verified

Tara has just finished school, but she is going to roam around the country awhile before she starts looking for work. Which statement best characterizes the changes that occur in labour statistics?

Correct Answer
verified

What was the labour-force participation rate of men just after World War II?

Correct Answer
verified

How is a college student who is not working or looking for a job counted?

Correct Answer
verified

What determines the period for which an unemployed person can collect EI benefits?

Correct Answer
verified

Employment insurance reduces hardships of unemployment but also increases the amount of structural unemployment.

Correct Answer
verified

When unions raise wages in some sectors of the economy, what happens to the supply of labour in other sectors of the economy?

Correct Answer
verified

Which of the following best defines gross job creation?

Correct Answer
verified

In which situation would Statistics Canada count a person as unemployed?

Correct Answer
verified

Correct Answer
verified
a. The increase in demand for goods and ...
View Answer

In 2009, Canada was in a serious recession. By 2013, Canada was experiencing a strong economic recovery. How did employment growth and gross job creation compare between 2009 and 2013?

Correct Answer
verified

Exam 9: Unemployment and Its Natural Rate

Table 9-1 This table shows the 2013 data for males and females aged 15 and over in the country of Bolivar. -Refer to the Table 9-1. What is the adult unemployment rate in Bolivar?

Correct AnswerverifiedShow Answer

What is most likely to cause frictional unemployment?

Correct AnswerverifiedShow Answer

In 1914, Henry Ford began paying his workers $5 per day, about twice the going wage. As a result, turnover and absenteeism fell, and productivity and profits rose.

Correct AnswerverifiedShow Answer

In 2014 in the United Kingdom, the adult population was about 65 million, the labour force participation rate was 62percent, and the unemployment rate was 5.7 percent. What was the number of people unemployed?

Correct AnswerverifiedShow Answer

Which province has the highest percentage of unionized workers?

Correct AnswerverifiedShow Answer

According to Statistics Canada data, which category had the highest percentage of the labour force in 2014?

Correct AnswerverifiedShow Answer

In Canada in recent years, how does the unemployment rate among those aged 15 to 24 compare with that of older adults?

Correct AnswerverifiedShow Answer

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

Correct AnswerverifiedShow Answer

Correct AnswerverifiedShow Answer

Regarding the categories of unemployment, which statement best describes how the effect of sectoral changes compares to the effect of firms paying higher-than-equilibrium wages?

Correct AnswerverifiedShow Answer

Tara has just finished school, but she is going to roam around the country awhile before she starts looking for work. Which statement best characterizes the changes that occur in labour statistics?

Correct AnswerverifiedShow Answer

What was the labour-force participation rate of men just after World War II?

Correct AnswerverifiedShow Answer

How is a college student who is not working or looking for a job counted?

Correct AnswerverifiedShow Answer

What determines the period for which an unemployed person can collect EI benefits?

Correct AnswerverifiedShow Answer

Employment insurance reduces hardships of unemployment but also increases the amount of structural unemployment.

Correct AnswerverifiedShow Answer

When unions raise wages in some sectors of the economy, what happens to the supply of labour in other sectors of the economy?

Correct AnswerverifiedShow Answer

Which of the following best defines gross job creation?

Correct AnswerverifiedShow Answer

In which situation would Statistics Canada count a person as unemployed?

Correct AnswerverifiedShow Answer

Correct Answerverifieda. The increase in demand for goods and ...View AnswerShow Answer

In 2009, Canada was in a serious recession. By 2013, Canada was experiencing a strong economic recovery. How did employment growth and gross job creation compare between 2009 and 2013?

Correct AnswerverifiedShow Answer

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a. The increase in demand for goods and ...
View Answer

Correct Answer
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