Intro To Business Test 2 Homework

Suppose the small country of Smithland has 700 people aged 16 and over. Of those 700 people, 170 are not working or seeking work, 100 are working part time, 25 are unemployed and looking for work, and 25 are unemployed, say that they want a job, but aren't actively seeking work. The rest work full time. What is the unemployment rate in Smithland (answer in decimals to 2 places)?

0.05 To calculate the unemployment rate, divide the number of unemployed by the number in the labor force (which is the number employed plus the number looking for work) 25/505=0.049

Suppose the small country of Smithland has 700 people aged 16 and over. Of those 700 people, 170 are not working or seeking work, 100 are working part time, 25 are unemployed and looking for work, and 25 are unemployed, say that they want a job, but aren't actively seeking work. The rest work full time. What is the LFPR rate in Smithland (answer in decimals to 2 places)?

0.72 FORMULA: sum of all workers employed or seeking employment/ total step 1 : 700-170-100-25-25 = 380 full time step 2:100 +25=125 part time plus looking for work step 3: 505/700= 0.72

Which of the following would NOT be included in current GDP? Pick all that apply. A The sale of a dress at a consignment shop B The sale of a box of Kleenex at the grocery store C The sale of a Toyota produced in Kentucky and sold in Texas D The sale of a Ford produced in Canada and sold in Canada E A workbench that was produced last year but not sold until this year. F The sale of fabric to a pillow manufacturing plant.

A,D,E,F

Which of the following would most likely be studied by a macroeconomist? A The market for Christmas trees in Argentina B The growth rate of the economy of China C The labor market for professional basketball players in the NBA D An individuals decision to purchase a car

B. The growth rate of the economy of China

If your professor brings a candy bar to every person in your class, then scarcity doesn't exist in your class that day. (T/F)

False

The Law of Supply indicates that supply is downward sloping because as prices fall, consumers are better able to afford more of a product and are more willing to buy more of a product.(T/F)

False The definition given in the question describes the Law of Demand as it discusses consumers, rather than the Law of Demand, which is about firms.

Suppose that on average, prices have risen a bit, but the price of Smart television sets have gone down. This means:

Inflation is happening, but something else is affecting the market for television sets

The beer industry is represented by a few large dominant firms and a variety of smaller firms. Beer is a differentiated good (not uniform) and beer companies have a strong degree of control over the price of their good. Barriers to enter the national market are high even through small microbreweries exist. The beer industry is most likely an _ industry.

Oligopolistic