Question 1

Suppose that some people are counted as unemployed when, to maintain unemployment compensation, they search for work only at places where they are unlikely to be hired. If these individuals were counted as out of the labor force instead of as unemployed, then

Accepted Answer

A)   both the unemployment rate and labor-force participation rate would be higher.
B)   both the unemployment rate and labor-force participation rate would be lower.
C)   the unemployment rate would be lower, and the labor-force participation rate would be higher.
D)   the unemployment rate would be higher, and the labor-force participation rate would be lower.E) C) and D)
F) A) and C)

Question 2

Explain how the actions of labor unions generate greater unemployment.

Accepted Answer

Labor unions push wa...

Question 3

One explanation for long-run unemployment is that it takes time for workers to search for the jobs that are best suited for them.

Accepted Answer

A) True 
 B)False

Question 4

The Bureau of Labor Statistics produces data on unemployment

Accepted Answer

A)   weekly.
B)   monthly.
C)   quarterly.
D)   yearly.E) B) and C)
F) C) and D)

Question 5

The natural unemployment rate includes

Accepted Answer

A)   both frictional and structural unemployment.
B)   neither frictional nor structural unemployment.
C)   structural but not frictional unemployment.
D)   frictional but not structural unemployment.E) All of the above
F) A) and D)

Question 6

The Bureau of Labor Statistics reported in 2005 that there were 59.98 million people over age 25 whose highest level of education was a high school degree or equivalent, 36.40 million of whom were employed and 1.93 million of whom were unemployed. What were the labor-force participation rate and the unemployment rate for this group?

Accepted Answer

A)   60.7% and 3.2%
B)   60.7% and 5.0%
C)   63.9% and 3.2%
D)   63.9% and 5.0%E) B) and C)
F) All of the above

Question 7

In the 1990's Ireland made unemployment benefits less generous. This change would likely have reduced

Accepted Answer

A)   both structural unemployment and the natural rate of unemployment.
B)   structural unemployment but not the natural rate of unemployment.
C)   both frictional unemployment and the natural rate of unemployment.
D)   frictional unemployment but not the natural rate of unemployment.E) A) and C)
F) C) and D)

Question 8

Christopher is an unpaid, stay-at-home father who works as a volunteer at the local Habitat for Humanity chapter. Currently, Christopher is not looking for a paid job. The Bureau of Labor Statistics counts Christopher as

Accepted Answer

A)   unemployed and in the labor force.
B)   unemployed but not in the labor force.
C)   in the labor force but not unemployed.
D)   neither in the labor force nor unemployed.E) A) and B)
F) All of the above

Question 9

The introduction of a union into an industry creates a

Accepted Answer

A)   surplus of labor and so raises unemployment.
B)   surplus of labor and so reduces unemployment.
C)   shortage of labor and so raises unemployment.
D)   shortage of labor and so reduces unemployment.E) A) and B)
F) B) and D)

Question 10

Which of the following is not a commonly-cited explanation for the dramatically increasing labor-force participation rates for women from 1950 to the present?

Accepted Answer

A)   availability of reliable birth control
B)   invention of household labor-saving devices such as dishwashers and microwave ovens
C)   an increasing number of women who work to support their parents
D)   changing social attitudes about working mothersE) A) and B)
F) A) and C)

Question 11

Cyclical unemployment is caused by

Accepted Answer

A)   frictional and structural unemployment
B)   frictional but not structural unemployment
C)   structural but not frictional unemployment
D)   neither frictional nor structural unemploymentE) None of the above
F) C) and D)

Question 12

Table 28-7
Below is data about the labor market in the city of Productionville.
 
-Refer to Table 28-7. If the local government imposed a minimum wage of $5 in Productionville, how many people would be unemployed?

Accepted Answer

A)   0
B)   2,000
C)   3,000
D)   5,000E) All of the above
F) A) and C)

Question 13

Today, unions play a larger role in Europe than they do in the U.S.

Accepted Answer

A) True 
 B)False

Question 14

Someone who is without work but is not looking for work is included in the Bureau of Labor Statistics' "unemployed" category.

Accepted Answer

A) True 
 B)False

Question 15

Discouraged workers are people who want to work but have given up trying to find a job after an unsuccessful search.

Accepted Answer

A) True 
 B)False

Question 16

Which of the following do unions not cause?

Accepted Answer

A)   frictional unemployment
B)   the wage to rise above the equilibrium level
C)   conflict between insiders who benefit from high union wages and outsiders who do not get the union jobs
D)   reduced wages in industries without unionsE) C) and D)
F) A) and B)

Question 17

Figure 28-3 
-Refer to Figure 28-3. If the government imposes a minimum wage of $4, then unemployment will increase by

Accepted Answer

A)   0 workers.
B)   2,000 workers.
C)   4,000 workers.
D)   5,000 workers.E) A) and D)
F) B) and D)

Question 18

Within the U.S. population, teenagers ages 16-19 have lower rates of labor-force participation than adults of prime working age ages 25-54, regardless of race or gender.

Accepted Answer

A) True 
 B)False

Question 19

It is only among the least skilled and least experienced members of the labor force that minimum-wage laws cause unemployment.

Accepted Answer

A) True 
 B)False

Question 20

Most economists believe unions are bad for the economy as a whole.

Accepted Answer

A) True 
 B)False

Exam 20: Unemployment

Most economists believe unions are bad for the economy as a whole.

Correct Answer
verified

The natural unemployment rate includes

Correct Answer
verified

Correct Answer
verified

Today, unions play a larger role in Europe than they do in the U.S.

Correct Answer
verified

Figure 28-3 -Refer to Figure 28-3. If the government imposes a minimum wage of $4, then unemployment will increase by

Correct Answer
verified

The Bureau of Labor Statistics produces data on unemployment

Correct Answer
verified

Cyclical unemployment is caused by

Correct Answer
verified

In the 1990's Ireland made unemployment benefits less generous. This change would likely have reduced

Correct Answer
verified

Within the U.S. population, teenagers ages 16-19 have lower rates of labor-force participation than adults of prime working age ages 25-54, regardless of race or gender.

Correct Answer
verified

The introduction of a union into an industry creates a

Correct Answer
verified

Table 28-7 Below is data about the labor market in the city of Productionville. -Refer to Table 28-7. If the local government imposed a minimum wage of $5 in Productionville, how many people would be unemployed?

Correct Answer
verified

Suppose that some people are counted as unemployed when, to maintain unemployment compensation, they search for work only at places where they are unlikely to be hired. If these individuals were counted as out of the labor force instead of as unemployed, then

Correct Answer
verified

It is only among the least skilled and least experienced members of the labor force that minimum-wage laws cause unemployment.

Correct Answer
verified

Explain how the actions of labor unions generate greater unemployment.

Correct Answer
verified
Labor unions push wa...
View Answer

One explanation for long-run unemployment is that it takes time for workers to search for the jobs that are best suited for them.

Correct Answer
verified

Which of the following do unions not cause?

Correct Answer
verified

Someone who is without work but is not looking for work is included in the Bureau of Labor Statistics' "unemployed" category.

Correct Answer
verified

Discouraged workers are people who want to work but have given up trying to find a job after an unsuccessful search.

Correct Answer
verified

Christopher is an unpaid, stay-at-home father who works as a volunteer at the local Habitat for Humanity chapter. Currently, Christopher is not looking for a paid job. The Bureau of Labor Statistics counts Christopher as

Correct Answer
verified

Which of the following is not a commonly-cited explanation for the dramatically increasing labor-force participation rates for women from 1950 to the present?

Correct Answer
verified

Exam 20: Unemployment

Most economists believe unions are bad for the economy as a whole.

Correct AnswerverifiedShow Answer

The natural unemployment rate includes

Correct AnswerverifiedShow Answer

Correct AnswerverifiedShow Answer

Today, unions play a larger role in Europe than they do in the U.S.

Correct AnswerverifiedShow Answer

Figure 28-3 -Refer to Figure 28-3. If the government imposes a minimum wage of $4, then unemployment will increase by

Correct AnswerverifiedShow Answer

The Bureau of Labor Statistics produces data on unemployment

Correct AnswerverifiedShow Answer

Cyclical unemployment is caused by

Correct AnswerverifiedShow Answer

In the 1990's Ireland made unemployment benefits less generous. This change would likely have reduced

Correct AnswerverifiedShow Answer

Within the U.S. population, teenagers ages 16-19 have lower rates of labor-force participation than adults of prime working age ages 25-54, regardless of race or gender.

Correct AnswerverifiedShow Answer

The introduction of a union into an industry creates a

Correct AnswerverifiedShow Answer

Table 28-7 Below is data about the labor market in the city of Productionville. -Refer to Table 28-7. If the local government imposed a minimum wage of $5 in Productionville, how many people would be unemployed?

Correct AnswerverifiedShow Answer

Suppose that some people are counted as unemployed when, to maintain unemployment compensation, they search for work only at places where they are unlikely to be hired. If these individuals were counted as out of the labor force instead of as unemployed, then

Correct AnswerverifiedShow Answer

It is only among the least skilled and least experienced members of the labor force that minimum-wage laws cause unemployment.

Correct AnswerverifiedShow Answer

Explain how the actions of labor unions generate greater unemployment.

Correct AnswerverifiedLabor unions push wa...View AnswerShow Answer

One explanation for long-run unemployment is that it takes time for workers to search for the jobs that are best suited for them.

Correct AnswerverifiedShow Answer

Which of the following do unions not cause?

Correct AnswerverifiedShow Answer

Someone who is without work but is not looking for work is included in the Bureau of Labor Statistics' "unemployed" category.

Correct AnswerverifiedShow Answer

Discouraged workers are people who want to work but have given up trying to find a job after an unsuccessful search.

Correct AnswerverifiedShow Answer

Christopher is an unpaid, stay-at-home father who works as a volunteer at the local Habitat for Humanity chapter. Currently, Christopher is not looking for a paid job. The Bureau of Labor Statistics counts Christopher as

Correct AnswerverifiedShow Answer

Which of the following is not a commonly-cited explanation for the dramatically increasing labor-force participation rates for women from 1950 to the present?

Correct AnswerverifiedShow Answer

Correct Answer
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Labor unions push wa...
View Answer

Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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