Macroeconomics chapter 11

A country has 50 million people, 30 million of whom are adults. Of the adults, 5 million are not interested in working, another 5 million are interested in working but have given up looking for work, and 5 million are still looking for work. Of those who do have jobs, 5 million are working part time but would like to work full time, and the remaining 10 million are working full time. How many people in this country are in the labor force?

20 million

A country has 50 million people, 30 million of whom are adults. Of the adults, 5 million are not interested in working, another 5 million are interested in working but have given up looking for work, and 5 million are still looking for work. Of those who do have jobs, 5 million are working part time but would like to work full time, and the remaining 10 million are working full time. What is this country's unemployment rate?

25%

A country has 50 million people, 30 million of whom are adults. Of the adults, 5 million are not interested in working, another 5 million are interested in working but have given up looking for work, and 5 million are still looking for work. Of those who do have jobs, 5 million are working part time but would like to work full time, and the remaining 10 million are working full time. What is this country's labor force participation rate?

66.7%

Which of the following is considered unemployed? a.) Joe, a retired college professor, does community volunteer work. b.) Julie, a full-time housewife, is searching for a part-time position. c.) Jason, a full-time college student, is looking for a part-time job. d.) John, on temporary layoff from his work, awaits recall.

John, on temporary layoff from his work, awaits recall.

Which of the following would the BLS define as a discouraged worker? -Susan, who has been unemployed for the past three years and is looking for a part-time job -Robert, a retired teacher, who works full time as a greeter at a discount store -Quinton, who has a doctorate in chemistry, but works full time as a taxi driver -Mary, who was laid off last year and who was looking for a full-time job until last month

Mary, who was laid off last year and who was looking for a full-time job until last month

Which of the following is NOT part of natural unemployment? -cyclical unemployment -structural unemployment -frictional and structural -frictional unemployment

cyclical unemployment

Unemployment correlated with the business cycle is called:

cyclical unemployment.

As the baby boomers retire, the United States labor force participation rate will:

decrease.

An unemployed person is one who:

does not have a job but is actively looking for one.

Someone who recently moved to Florida because of its warmer climate will need to spend some time looking for a new job. This is an example of:

frictional unemployment.

During recessions the unemployment rate:

increases.

Minimum wage laws and unions tend to:

raise wages and raise unemployment

When workers lose their jobs and become officially unemployed, the labor force participation rate:

remains constant.

Frictional unemployment is best defined as:

short-term unemployment caused by difficulties of matching employees to employers.

The persistent, long-term unemployment caused by long-lasting shocks or permanent features of an economy is called:

structural unemployment.