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Exam 15: Unemployment

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Question 321

Multiple Choice

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Evidence from research studies by economists

A) shows that increased unemployment benefits decrease the job search efforts of the unemployed.
B) shows that increased unemployment benefits have virtually no effect on the job search efforts of the unemployed.
C) shows that increased unemployment benefits increase the job search efforts of the unemployed.
D) is conflicting on what increased unemployment benefits do to the job search efforts of the unemployed.

E) C) and D)
F) A) and C)

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Question 322

Multiple Choice

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Minimum-wage laws, unions, and efficiency wages contribute to

A) both structural unemployment and the natural rate of unemployment.
B) neither structural unemployment nor the natural rate of unemployment.
C) structural unemployment, but not the natural rate of unemployment.
D) the natural rate of unemployment, but not structural unemployment.

E) B) and C)
F) B) and D)

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Question 323

Multiple Choice

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Which of the following is not a cause of frictional unemployment?

The labor force minus the number of employed equals the number of unemployed.

Which of the following is a source of frictional unemployment?

Table 28-2 Labor Data for Aridia -Refer to Table 28-2. The labor-force participation rate of Aridia in 2011 was

The National Labor Relations Board

The Bureau of Labor Statistics reported in 2005 that there were 53.23 million people over age 25 who had at least a bachelor's degree, 40.59 million of whom were employed and 0.98 million of whom were unemployed. What were the labor-force participation rate and the unemployment rate for this group?

Economists would predict that, other things the same, the more generous unemployment compensation a country has, the

Table 28-6 -Refer to Table 28-6. What is the U-6 measure of labor underutilization?

Why have labor-force participation rates for women in the United States increased since World War II while labor- force participation rates for men have decreased?

Figure 28-3 -Refer to Figure 28-3. If the government imposes a minimum wage of $4, how many workers will be unemployed?

Within the U.S. population, women of prime working age ages 25-54) have lower rates of labor-force participation than men of prime working age ages 25-54), regardless of race.

Rupert is collecting unemployment insurance benefits. To continue to receive his benefits, he must be looking for work. Because he'd like to continue collecting benefits rather than take a job, he applies at places that are unlikely to hire him. People like Rupert make the reported unemployment rate less than it would otherwise be.

Economists at the Congressional Budget Office estimated that for 2012, the U.S. natural rate of unemployment was about 5.5 percent.

A person who is counted as "unemployed" by the Bureau of Labor Statistics

According to the theory of efficiency wages, it may be profitable for firms to keep wages high even in the presence of a surplus of labor.

When a union is present in a labor market, wages are not determined by the equilibrium of supply and demand.

An American worker who becomes unemployed typically receives 100% of her former salary during the first six months she is unemployed.

Which of the following is correct?