Question 1

The natural rate of unemployment is the desirable rate of unemployment for an economy.

Accepted Answer

A) True 
 B)False

Question 2

Economists have found that union workers earn what percent more than similar nonunion workers?

Accepted Answer

A)   0 to 5
B)   5 to 10
C)   10 to 20
D)   20 to 30E) A) and B)
F) A) and C)

Question 3

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

Accepted Answer

A) True 
 B)False

Question 4

Briefly explain the four rationales for efficiency wages.

Accepted Answer

1. Better paid workers are healthier and...

Question 5

Which of the following is not correct?

Accepted Answer

A)   Most people who become unemployed will soon find jobs.
B)   In an ideal labor market, wages would adjust to ensure that all workers are always fully employed.
C)   The unemployment rate occasionally falls to zero.
D)   There are always some workers without jobs, even when the overall economy is doing well.E) A) and D)
F) B) and D)

Question 6

Adults who are waiting to be recalled to a job from which they had been laid off are counted as "unemployed."

Accepted Answer

A) True 
 B)False

Question 7

A survey showed that in each of the past 12 months there was one person who was unemployed who worked in all other months. There were also two people who were unemployed for all 12 months. What percentage of the unemployment spells during the year was short term, and what percentage of the unemployment in a given month was long term?

Accepted Answer

A)   75% was short term; 33.3% was long term
B)   75% was short term; 66.7% was long term
C)   85.7% was short term; 33.3% was long term
D)   85.7% was short term; 66.7% was long termE) B) and C)
F) None of the above

Question 8

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

Accepted Answer

A) True 
 B)False

Question 9

Measuring the amount of unemployment in the economy is a straightforward task.

Accepted Answer

A) True 
 B)False

Question 10

Job search is the process of matching workers with appropriate jobs.

Accepted Answer

A) True 
 B)False

Question 11

Adults who were waiting to be recalled to a job from which they had been laid off are included in the Bureau of Labor Statistics' "employed" category.

Accepted Answer

A) True 
 B)False

Question 12

Some of a firm's workers are made worse off by the introduction of a union.

Accepted Answer

A) True 
 B)False

Question 13

Suppose that some people report themselves as unemployed when, in fact, they are working in the underground economy. If these persons were counted as employed, 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 higher, and the labor-force participation rate would be higher.
D)   the unemployment rate would be lower, and the labor-force participation rate would be unaffected.E) A) and C)
F) A) and D)

Question 14

Only paid workers are included in the Bureau of Labor Statistics' "employed" category.

Accepted Answer

A) True 
 B)False

Question 15

Workers searching for jobs that best suit them is most closely associated with

Accepted Answer

A)   cyclical unemployment.
B)   frictional unemployment.
C)   seasonal unemployment.
D)   structural unemployment.E) A) and D)
F) B) and D)

Question 16

Minimum-wage laws affect all workers.

Accepted Answer

A) True 
 B)False

Question 17

The Bureau of Labor Statistics divides the adult population into three categories: employed, unemployed, and not in the labor force.

Accepted Answer

A) True 
 B)False

Question 18

Duane owns his own real estate company. The Bureau of Labor Statistics counts Duane as

Accepted Answer

A)   unemployed and in the labor force.
B)   unemployed and not in the labor force.
C)   employed and in the labor force.
D)   employed and not in the labor force.E) B) and C)
F) None of the above

Question 19

Figure 28-1 
-Refer to Figure 28-1. Which of the following correctly identifies lines A and B?

Accepted Answer

A)   Line A is the unemployment rate, and line B is the natural rate of unemployment.
B)   Line A is the labor force participation rate, and line B is the adult population.
C)   Line A is the employment rate, and line B is the adult population.
D)   Line A is the labor force participation rate, and line B is the unemployment rate.E) A) and B)
F) B) and D)

Question 20

Most spells of unemployment are short. About half of unemployment spells end with an exit from the labor force.

Accepted Answer

A) True 
 B)False

Exam 28: Unemployment

Duane owns his own real estate company. The Bureau of Labor Statistics counts Duane as

Correct Answer
verified

Job search is the process of matching workers with appropriate jobs.

Correct Answer
verified

Adults who were waiting to be recalled to a job from which they had been laid off are included in the Bureau of Labor Statistics' "employed" category.

Correct Answer
verified

Some of a firm's workers are made worse off by the introduction of a union.

Correct Answer
verified

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

Correct Answer
verified

Suppose that some people report themselves as unemployed when, in fact, they are working in the underground economy. If these persons were counted as employed, then

Correct Answer
verified

Briefly explain the four rationales for efficiency wages.

Correct Answer
verified
1. Better paid workers are healthier and...
View Answer

Minimum-wage laws affect all workers.

Correct Answer
verified

Economists have found that union workers earn what percent more than similar nonunion workers?

Correct Answer
verified

The Bureau of Labor Statistics divides the adult population into three categories: employed, unemployed, and not in the labor force.

Correct Answer
verified

The natural rate of unemployment is the desirable rate of unemployment for an economy.

Correct Answer
verified

Figure 28-1 -Refer to Figure 28-1. Which of the following correctly identifies lines A and B?

Correct Answer
verified

Which of the following is not correct?

Correct Answer
verified

Workers searching for jobs that best suit them is most closely associated with

Correct Answer
verified

Only paid workers are included in the Bureau of Labor Statistics' "employed" category.

Correct Answer
verified

Adults who are waiting to be recalled to a job from which they had been laid off are counted as "unemployed."

Correct Answer
verified

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

Correct Answer
verified

Most spells of unemployment are short. About half of unemployment spells end with an exit from the labor force.

Correct Answer
verified

Measuring the amount of unemployment in the economy is a straightforward task.

Correct Answer
verified

Correct Answer
verified

Exam 28: Unemployment

Duane owns his own real estate company. The Bureau of Labor Statistics counts Duane as

Correct AnswerverifiedShow Answer

Job search is the process of matching workers with appropriate jobs.

Correct AnswerverifiedShow Answer

Adults who were waiting to be recalled to a job from which they had been laid off are included in the Bureau of Labor Statistics' "employed" category.

Correct AnswerverifiedShow Answer

Some of a firm's workers are made worse off by the introduction of a union.

Correct AnswerverifiedShow Answer

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

Correct AnswerverifiedShow Answer

Suppose that some people report themselves as unemployed when, in fact, they are working in the underground economy. If these persons were counted as employed, then

Correct AnswerverifiedShow Answer

Briefly explain the four rationales for efficiency wages.

Correct Answerverified1. Better paid workers are healthier and...View AnswerShow Answer

Minimum-wage laws affect all workers.

Correct AnswerverifiedShow Answer

Economists have found that union workers earn what percent more than similar nonunion workers?

Correct AnswerverifiedShow Answer

The Bureau of Labor Statistics divides the adult population into three categories: employed, unemployed, and not in the labor force.

Correct AnswerverifiedShow Answer

The natural rate of unemployment is the desirable rate of unemployment for an economy.

Correct AnswerverifiedShow Answer

Figure 28-1 -Refer to Figure 28-1. Which of the following correctly identifies lines A and B?

Correct AnswerverifiedShow Answer

Which of the following is not correct?

Correct AnswerverifiedShow Answer

Workers searching for jobs that best suit them is most closely associated with

Correct AnswerverifiedShow Answer

Only paid workers are included in the Bureau of Labor Statistics' "employed" category.

Correct AnswerverifiedShow Answer

Adults who are waiting to be recalled to a job from which they had been laid off are counted as "unemployed."

Correct AnswerverifiedShow Answer

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

Correct AnswerverifiedShow Answer

Most spells of unemployment are short. About half of unemployment spells end with an exit from the labor force.

Correct AnswerverifiedShow Answer

Measuring the amount of unemployment in the economy is a straightforward task.

Correct AnswerverifiedShow Answer

Correct AnswerverifiedShow Answer

Correct Answer
verified

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
verified
1. Better paid workers are healthier and...
View Answer

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

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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Correct Answer
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Correct Answer
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