Unemployment, CPI, Inflation,

Which of the following statements is false?

In recent years, the demand for workers in the manufacturing sector has grown dramatically compared to the demand for workers in the service sector.

Among all high-income countries, which consistently has the lowest long-run unemployment rate in the past 30 years?

Japan

What is excluded from the official calculation of the unemployment rate?

Students who are attending to school full time and not working.

Joseph is an unemployed yard landscaping worker who is trying to find employment as he last had work seven months ago. He is now at a point where he will take any wage even if low to get money to pay the bills. He talks to businesses and landscaping companies on a daily basis but none are hiring due to an ongoing recession. How would you describe his experience with the correct economic term?

cyclical unemployment

In Fairwind Country, there are only 4 consumer goods or services: tourism, popcorn, carrots, and berries. Using the data in the following table, please calculate the CPI values for 2005 and 2015, using 1985 as a base year. The average family purchased the market basket indicated by the columns "Items" and "Quantity."

2005: 128; 2015: 176

Which form of unemployment suggests workers need to seek education and training and to update their skill sets?

structural

After the success of the Apollo space program, in the mid-1970s NASA budget cuts results in a decrease in the number of jobs for aerospace engineers. This was an example of ________.

structural unemployment

If technological growth and innovation is halted over a protracted period, which CPI bias problem is likely to persist?

substitution bias

To find unemployment, you need to calculate

the number of unemployed workers divided by labor force

Discouraged workers are not counted as unemployed because they are working.

true

A person in the civilian labor force falls into one of two categories:

unemployed or employed.

Which of the following demographic has the highest unemployment rate according to U.S. Census Bureau data?

young african american men

Rapid technological change is likely to increase which problem MOST for CPI as an accurate measure of cost of living changes?

new goods bias

One measure of the inflation rate is the

percentage change in the CPI of adjacent years.

If economists design a way to eliminate the substitution bias in CPI calculations, how is the CPI likely to change as a result?

the cpi will grow at a slower rate

Inflation makes certain things less valuable in real terms, including:

the dollar

Given the table above, what is the price index for 2013, with 2012 as the base year having a price index of 100 (round your answer to the nearest whole number).

118

Which scenario could you use as an example of frictional unemployment when explaining it to a friend?

An economics professor living and working in California accepts a new position at a college in New Jersey. She takes two months after finishing her current work to wrap things up and move out East.

The idea that firms will get the most for their money when they pay wages higher than the equilibrium wage is called:

efficiency-wage theory.