Macro test 2
he table shows employment statistics for a fictional country. Use the information to answer the questions. Round your percentages to two decimal places. Category -- Number of people Employed -- 5905 Unemployed -- 452 Not in the labor force -- 551 1. What is the total labor force? 2. What is the labor force participation rate? 3. What is the unemployment rate? Suppose 246 of the 452 unemployed people have been unemployed for so long that they stop looking for work. 4. What is. the new labor force? 5. What is the labor force participation rate? 6. What is the new unemployment rate?
1. 6357 2. 92.02 3. 7.11 4. 6111 5. 88,46 6. 3.37
Individuals who want to work but have given up searching for a job because of limited prospects are known as: a. marginally attached workers b. discouraged workers c. frictionally unemployed This group, consisting of individuals who would like to work but have not looked for work during the past four weeks, is included among: a. discouraged workers b. the structurally unemployed c. minimally attractive workers d. marginally attached workers
1. b 2. d
Which of the factors would decrease the rate of frictional unemployment? a. increased short-term unemployment benefits b. improvements in technology that make skills which were once valued by employers obsolete c. an increase in the number of jobs available due to an increase in GDP d. the advent of the Internet, which makes finding available jobs easier When the economy is doing well, a significant share of unemployment is frictional? a. true b. false
1. d 2. a--true
Which individual is out of the labor force? a. William is without a job, is able to work, but is not actively looking for work b. Madison is working 5 hours per week. c. Patricia is without a job, is able to work, and is actively looking for work. d. Joshua is working 35 hours per week.
A
Identify what type of unemployment each of the individuals faces. James is an architect who has been laid off owing to a slump in the demand for property. He feels he will have to wait until the economy picks up before he can get a new job. Eric is an experienced project manager who lost his job at a tech start-up because the company's product failed to become popular. He is confident he can get a new job and has already rejected a number of offers. Craig lost his job several months ago. He is having a hard time finding a job that pays him more than unemployment insurance does. Sarah is a recent economics graduate who is entering a difficult labor market, due to a severe recession. She is continuing to look for work but is having a hard time getting interviews. Hamid has just graduated as a lawyer from an esteemed law school. He is confident of getting a job and has already refused a few lower‑paying jobs.
James is facing cyclical unemployment. Eric is facing frictional unemployment. Craig is facing structural unemployment. Sarah is facing cyclical unemployment Hamid is facingfrictional unemployment.
Determine whether each of the individuals is considered unemployed or not unemployed. a. Erik volunteers for 10 hours per week at his children's school and does no other work. He sends his resume to 10 potential employers daily. b. Laura works 20 hours in a paid position for her local animal shelter. c. Pete had a knee replacement two weeks ago and will not be available to work at his job as a mechanic for the next three months. d. Alex just turned 16 and started applying for jobs. He has not found a company that will hire him yet. e. James quit his job to stay at home with his children and has not worked in 15 years, nor has he looked for work.
a. unemployed b. not unemployed c. not unemployed d. unemployed e. no unemployed