Scenario: Consider Country A with a population of 2 million people. In Country A, there are 1.5 million people employed; 0.3 million younger than 18, in school or retired; 0.1 million voluntarily unemployed; and 0.1 million people officially unemployed. Refer to the scenario above. If country A is at a labor market equilibrium, which of the following should be the only reason that a person is officially unemployed? O The person does not participate in the labor force. O The person is in school and chooses not to work. O There is imperfect information between employers and workers, so the person is not able to find a job. O The person is retired.

Scenario: Consider Country A with a population of 2 million people. In Country A, there are 1.5 million people employed; 0.3 million younger than 18, in school or retired; 0.1 million voluntarily unemployed; and 0.1 million people officially unemployed. Refer to the scenario above. If country A is at a labor market equilibrium, which of the following should be the only reason that a person is officially unemployed? O The person does not participate in the labor force. O The person is in school and chooses not to work. O There is imperfect information between employers and workers, so the person is not able to find a job. O The person is retired.

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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Question

Scenario: Consider Country A with a population of 2 million people. In Country
A, there are 1.5 million people employed; 0.3 million younger than 18, in school
or retired; 0.1 million voluntarily unemployed; and 0.1 million people officially
unemployed.
Refer to the scenario above. If country A is at a labor market equilibrium, which
of the following should be the only reason that a person is officially
unemployed?
O The person does not participate in the labor force.
The person is in school and chooses not to work.
O There is imperfect information between employers and workers, so the person is not
able to find a job.
O The person is retired.

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