question

The Bureau of Labor Statistics (BLS) compiles information about employment by

answer

performing am monthly survey of 60,000 households

question

In order to obtain the data used to calculate the unemployment rate, the Bureau of Labor Statistics

answer

uses a survey from 60,000 households

question

The purpose of the Current Population Survey is to determine the

answer

employment status of the population

question

The working-age population includes

answer

employed and unemployed people over the age of 16

question

Which of the following is true? A) To be classified as employed, you must be a full-time worker at a paid job. B) To be classified as employed, you must work at least 20 hours per week at a paid job. C) Part-time workers are all those who work less than 40 hours per week. D) To be classified as employed, you must work at least 1 hour per week at a paid job or 15 hours or more as an unpaid worker in your family business. E) If you are not working and turn down a job offer in the previous week, you are no longer classified as unemployed.

answer

D

question

An unpaid worker in a family business is classified as

answer

employed if the person worked at least 15 hours in the previous week

question

After graduating from college, Yunis, age 22, started working for his parents' real estate business as an unpaid assistant. He works 25 hours a week helping manage rental units. In the Current Population Survey, Yunis is considered

answer

part of the labor force and employed

question

If KeKe, age 32, worked 12 hours as a paid employee the week before the Current Population Survey, KeKe is classified in the Current Population Survey as ________ when calculating the unemployment rate.

answer

employed

question

Suppose a 23-year old graduate student is looking for a full-time job , but has to take a part-time job instead. He or she will be categorized in the Current Population Survey as ________ when calculating the unemployment rate.

answer

employed

question

Which of the following people would be classified as employed in the Current Population Survey? A) Rich, who is working 20 hours a week but wants a full-time job B) Misty, who just quit her job to return full time to school C) April, who just graduated from college and is looking for work D) Jason, who was laid off from work less than 6 months ago but who has stopped looking for work E) Laura, who is unpaid but is working 10 hours a week in the family business she and her husband run

answer

A

question

In the Current Population Survey, a person is considered unemployed if the person

answer

does not have a job and is actively looking for a job

question

To be considered unemployed, a worker must have had

answer

no employment during the week before the survey and be actively looking for ajob

question

If Brian, age 24, had no job but was available for work and had looked for a job the week before the survey, Brian is classified in the Current Population Survey as

answer

unemployed

question

Rob is considered unemployed in the Current Population Survey if he

answer

has looked for a job in the last four weeks but has not found a job

question

Phillip is a 22-year old who has no job and is available for work, but has not actively looked for a job in the last month. The Current Population Survey identifies Phillip as ________, ________ the labor force, and ________ the working-age population.

answer

not unemployed; not part of; part of

question

The labor forice is the

answer

number of employed people plus the number of unemployed people

question

The labor force includes people who i. are less than 16 years of age. ii. are in institutions. iii. are actively seeking a job but do not have a job. A) i only B) i and iii C) i and ii D) iii only E) i, ii, and iii

answer

D

question

The labor force is defined as the number of people who

answer

are employed plus the number of people who are unemployed

question

Jane is 25 years old, full-time student. She works part time in her school librart and is paid $7 an hour. She is considered

answer

employed

question

People over the age of 16 with full-time jobs are considered to be

answer

in the labor force and employed

question

f Jose is 22-years old, is available to work but does not have a job and made no specific efforts to find a job for the previous month, Jose is classified in the Current Population Survey as

answer

not in the labor force

question

The working-age population of people over the age of 16 can be divided into 2 groups. People that

answer

are in the labor force and people who are not in the labor force

question

The unemployment rate i the

answer

% of the labor force that does not have a job

question

Unemployment rate measures the % of

answer

people in the labor force who can't find a job

question

If Jose is 22-years old, is available to work but does not have a job and made no specific efforts to find a job for the previous month, Jose is classified in the Current Population Survey as

answer

not in the labor force

question

Unemployment rate equals

answer

(# of people unempoloyed/ labor force) x 100

question

If a significant number of part-time workers successfully find full-time employment, then

answer

the unemployment rate will fall and the labor force participation rate will increase

question

The labor force participation rate is the

answer

labor force divided by the working-age population, then multiplied by 100.

question

A weakness that could be noted about the unemployment rate is that it

answer

does not account for underutilized of workers

question

A marginally attached worker i) does not have a job and has not looked for one in the last month. ii) is available and willing to work. iii) must work at least 1 hour per week. A) iii only B) ii only C) ii and iii D) i and ii E) i only

answer

D

question

A marginally attached worker is

answer

a worker who does not have a job but is available and wants one but has not made any efforts to find a job in the 4 previous weeks

question

People who are willing and able to work but are not looking for work because they have been discouraged by their previous futile efforts are called

answer

discouraged workers

question

Discouraged workers who are over 16 years old are i. not counted as unemployed. ii. part of the working-age population. iii. part of the labor force. A) i only B) ii only C) i and ii D) ii and iii E) i, ii, and iii

answer

C

question

In 2008 as the recession worsened, suppose discouraged workers were included as part of the unemployment rate. Which of the following would have occurred?

answer

unemployment would have increased

question

Part time workers are defined as people who are working less than

answer

35 hours a week

question

Involuntary part-time workers are not working more hours due to

answer

economic reasons

question

Julie works part-time for economic reasons. She would be considered

answer

an involuntary part-time worker

question

Involuntary part-time workers are workers who

answer

work less than 35 hours but would like to work more

question

To be counted as employed by the BLS, in the week before the survey the person must have worked for pay ________.

answer

at least 1 hour

question

Bo is available and willing to work but has not actively looked for work in the past month. Bo is ________ of the labor force and is ________.

answer

not part; not counted as unemployed

question

The average US employment rate from 1948 has been about

answer

5.8 percent

question

Unemployment in the past 60 years have risen and fallen between what percents?

answer

4% - 10%

question

A main reason for the low unemployment rate from 95 to 00 was because of

answer

rapid development of the Internet industry and other new technologies.

question

During a recession, the unemployment rate

answer

usually increases but not necessarily to 10% or 25%

question

The unemployment rate generally _______ during recessions and generally ______ during expansions

answer

increases; decreases

question

During a recession the unemployment rate generally ________ and during an expansion the unemployment rate generally ________.

answer

rises; falls

question

The highest unemployment rate in US history was about

answer

25% in 1933

question

During the Great Depression, the unemployment rate rose to a maximum of

answer

25%

question

The unemployment rates during the last 10 years in the Eurozone was

answer

generally higher than US unemployment rate

question

Over the past 2 decades, the unemployment rates in Eurozone have been ______ than in US

answer

higher

question

Across developed and newly industrialized economies, since 1989 the United States has generally had

answer

a higher unemployment rate than Japan and Hong Kong and a lower unemployment rate than the Eurozone countries.

question

Countries with higher than average unemployment rates have ________ compared to the United States.

answer

more generous unemployment benefits and more regulated labor markets

question

T or F: Labor Force participation rate for women has increased near to 60% over the past 50 years in US

answer

True

question

The total labor force participation rate in United States has overall _____ in the past 50 years

answer

increased

question

Labor force participation in US since 1960 has _____ for women and ______ for men

answer

increased; decreased

question

Between 1960 and 2010, labor force participation rate for women

answer

increased until 1996

question

Since 1960, the labor force participation rate in the United States

answer

has generally increased

question

The upward trend in the U.S. labor force participation rate the the past 50 years is explained by A) the increase in the population. B) the increase in the male labor force participation rate. C) the increase in the number of discouraged workers. D) the increase in the female labor force participation rate. E) Both answers B and D are correct.

answer

D

question

The total U.S. labor force participation rate increased over the past 50 years because A) the female labor force participation rate increased. B) more men are retiring early. C) fewer women are attending college. D) many blue-collar jobs with rigid work hours have been created in the last decade. E) the male labor force participation rate increased.

answer

A

question

Which of the following statements are true concerning the labor force participation rate? i) The labor force participation rate for women in the United States has increased since 1959. ii) The labor force participation rates for women across different countries have converged to about 50 percent. iii) The labor force participation rate for men in the United States has decreased since 1959. A) i and ii B) i, ii and iii C) i and iii D) iii only E) i only

answer

C

question

Over the last 50 years, in the United States the labor force participation rate for women ________, the labor force participation rate for men ________, and the over-all labor force participation rate ________. A) increased; decreased; increased B) increased; decreased; did not change C) did not change; increased; increased D) increased; did not change; increased E) decreased; increased; increased

answer

A

question

Over the last 50 years, the U.S. labor force participation rate of men has ________ by ________ the labor force participation of women has ________. As a result, the overall U.S. labor force participation has ________.

answer

decreased; less than ;increased; increased

question

part, the increase in the labor force participation rate in the United States over the last 50 years can be attributed to

answer

technological change in the home increasing the time available for paid employment

question

Which of the following help explain the increase in the U.S. labor force participation rate for women? i. There was a significant fall in the number of children women were choosing to have. ii. There was an increase in the educational level of women. iii. Technological change in the home increased the time available for work outside the home. A) i only B) ii only C) i and ii D) ii and iii E) i, ii, and iii

answer

D

question

In the United States, a reason for the increase of the labor force participation rate for women is that

answer

more women pursued a college education and received higher wages upon graduation.

question

Since 1980 the percentage of part-time workers who are part time for economic reasons

answer

generally increased in recessions and decreased in expansions

question

During a recession, the percentage workers who are part time for economic reasons

answer

increases more rapidly than the percentage of part-time workers

question

Which of the following statements is true regarding part-time workers?

answer

Part-time workers are divided those who voluntary choose part-time work and those who work part-time due to economic reasons.

question

During a recession, the unemployment rate ________ and the percentage of part-time workers who are involuntary part-time workers ________.

answer

rises; rises

question

he women's labor force participation rate is

answer

higher in the US than in France

question

The number of part-time workers for economic reasons ________ during recessions and the number of part-time workers for noneconomic reasons ________ during recessions

answer

increases; does not change

question

Frictional unemployment is the result of

answer

the normal process of jobs being created and destroyed

question

As firms search for the best employee to fill an opening and the unemployed search for the job that best fits their skills, the economy experiences

answer

frictional unemployment

question

Frictional unemployment is a result of

answer

normal labor market turnover

question

________ unemployment changes slowly and depends on ________.

answer

Frictional; the rate at which people enter and exit the labor force

question

The ongoing normal creation and destruction of jobs creates

answer

frictional unemployment

question

Which type of unemployment is a permanent and healthy phenomenon in a dynamic economy?

answer

frictional

question

The amount of frictional unemployment depends on

answer

demographic factors and unemployment beneftis

question

A reduction in unemployment benefits will

answer

decrease frictional unemployment

question

Bill just graduated with his degree in economics. Through Career Services he submitted his resume to several companies and he will visit them during the next two weeks. Bill is considered

answer

frictionally unemployed

question

Which of the following would be considered unemployed as part of normal labor market turnover? i) Juliet, who was fired when the company where she worked went bankrupt in a recession ii) Hannah, who quit her job to find one that better suited her skills iii) Charlotte, who started looking for a job upon graduation from high school A) ii and iii B) i and ii C) i, ii and iii D) i and iii E) iii only

answer

A

question

Rosina Gonzales quit her job in Pennsylvania and moved to California to be close to her family. She is currently looking for work, so she would be considered

answer

frictionally unemployed

question

hich of the following correctly describes "frictional unemployment"?

answer

Frictional unemployment is a normal occurrence in a growing economy.

question

Higher ________ in Canada than in the United States help explain why ________ unemployment is higher in Canada than in the United States.

answer

unemployment benefits; frictional

question

Unemployment benefits in western Europe are more generous than in the United States. As a result, ________ in the United States.

answer

frictional unemployment is lower

question

Structural unemployment is the result of

answer

technological change or foreign competition

question

Which type of unemployment arises when changes in technology or international competition change the skills needed to perform jobs or change the location of jobs?

answer

structual

question

Structural unemployment includes people who become unemployed from

answer

technological changes

question

An employee who is fired from his or her job because he or she lacks the skills required to accomplish the task, is part of ________ unemployment.

answer

structual

question

Structural unemployment usually lasts ________ period of time frictional unemployment

answer

a longer

question

Which type of unemployment is most likely to lead unemployed workers to retrain or relocate?

answer

structual

question

During 2009, General Motors announced that it would close its Saturn facilities in the United States because of the foreign competition it faced. This corporate move

answer

structural unemployment

question

Cyclical unemployment includes people who become unemployed from

answer

Changes in the business cycle

question

The type of unemployment that arises from a decrease in real GDP is called

answer

cyclical unemployment

question

Which type of unemployment is the consequence of downturns in the business cycle?

answer

cyclical

question

Cyclical unemployment is caused by

answer

a recession

question

John has been laid off from his job because of a general downturn in the economy. John's unemployment is best classified as

answer

cyclical

question

Janae was fired from her job with Microsoft in the 2008-09 recession because Microsoft's sales dipped. Janae's unemployment would be best classified as

answer

cyclical

question

In 2008 as the economy moved into a recession,

answer

cyclical unemployment increased

question

Which is true regarding cyclical unemployment? i) Cyclical unemployment is positive at business cycle peaks. ii) Cyclical unemployment is negative at business cycle troughs. iii) Cyclical unemployment is zero at full employment. A) iii only B) i, ii and iii C) i and iii D) i only E) i and ii

answer

A

question

At full employment there is no

answer

cyclical employment

question

Full employment occurs when

answer

cyclical unemployment is zero

question

When the economy is at full employment,

answer

there is no cyclical unemployment

question

Full employment occurs when the

answer

unemployment rate equals the natural unemployment rate.

question

At full employment there still exists some unemployment because

answer

the US economy is constantly creating and destroying jobs

question

In 2011, real GDP in the United States was below potential GDP. This fact definitely means that

answer

the unemployment rate was above the natural unemployment rate

question

The natural unemployment rate is the unemployment rate that exists when there is no

answer

cyclical unemployment

question

Natural unemployment equals the sum of

answer

frictional and structural unemployment

question

The natural unemployment rate

answer

includes only frictional and structural unemployment.

question

The natural unemployment rate is

answer

the unemployment rate that is not associated with the business cycle

question

The natural unemployment rate occurs

answer

at the full employment level of unemployment.

question

If the unemployment rate is less than the natural unemployment rate, then

answer

real GDP is greater than potential GDP

question

At the peak of a business cycle,

answer

unemployment rate is below the natural unemployment rate

question

The natural unemployment rate is known

answer

with no certainty

question

Potential GDP is the level of output produced when the unemployment rate is

answer

equal to the natural unemployment rate

question

Potential GDP is reached when

answer

there is no cyclical unemployment

question

Which of the following is true? A) Real GDP fluctuates around potential GDP. B) Potential GDP fluctuates around real GDP. C) Nominal GDP fluctuates around real GDP. D) Real GDP fluctuates around nominal GDP. E) When real GDP equals potential GDP, both equal nominal GDP.

answer

A

question

During a recession,

answer

real GDP is less than potential GDP

question

When the unemployment rate is greater than the natural unemployment rate, real GDP is

answer

less than potential GDP

question

As the unemployment rate increases,

answer

real GDP decreases

question

When the unemployment rate is ________ the natural unemployment rate, real GDP is ________ potential GDP.

answer

below; above

question

If an entire industry relocates to a foreign country, the relocation leads to ahigher rate of _________ unemployment

answer

structual

question

An increase in unemployment benefits ________ and an increase in international competition that changes the location of jobs ________.

answer

increases frictional unemployment; increases structural unemployment

question

At full employment, there is no

answer

cyclical unemployment

question

What lowers fricitonal unemployment?

answer

decreasing unemployment benefits

question

If real GDP exceeds potential GDP, then the unemployment rate ________ the natural unemployment rate.

answer

is less than

question

When the unemployment rate is ________ the natural unemployment rate, real GDP is ________.

answer

below; above potential GDP

question

Producing an amount of GDP equal to potential GDP is most consistent with the economy producing

answer

on the PPF

question

After the passage of the North American Free Trade Agreement, which made it less expensive to import goods from Mexico, workers in some industries found their factories being relocated to Mexico to take advantage of lower labor costs. These workers experienced what type of unemployment?

answer

strucutal

question

If the Federal government expands its support of education and retraining of workers who have been unemployed for a relatively long length of time, which type of unemployment would the education and retraining most likely be targeted?

answer

structual

question

During the Great Depression of the 1930s when the unemployment rate was exceptionally high due to the Great Depression, the government had employment programs, such as the Civilian Conservation Corps, which built campsites and planted trees. These programs were aimed at reducing which type of unemployment?

answer

cyclical

Macro Set 5 – Flashcards

Unlock all answers in this set

Haven't found what you were looking for?

Search for samples, answers to your questions and flashcards