Economics (MindTap Course List)
13th Edition
ISBN: 9781337617383
Author: Roger A. Arnold
Publisher: Cengage Learning
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Question
Chapter 9, Problem 2WNG
(a)
To determine
Estimate the graph that represents the natural
(b)
To determine
Estimate the graph that represents the surplus in the labor market.
(c)
To determine
Estimate the graph that represents the recessionary gap.
(d)
To determine
Estimate the graph that represents the cyclical unemployment rate of zero.
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Students have asked these similar questions
Which type of unemployment is not included in the natural unemployment rate? Why? Which phase of the business cycle does this type of unemployment occur in ? What is the economic cost of unemployment regarding production and the economy's GDP level ?
a) State whether the following are true or false and explain why. i. Frictional and structural unemployment are two words for the same thing.ii. If an economy is at full employment, the unemployment rate is zero.
How does the unemployment rate behave over the business cycle?
The unemployment rate _______.
A.
remains relatively constant over the business cycle at an average of 5.7 percent
B.
equals 10 percent during a recession and falls to zero during an expansion
C.
rises during a recession and falls during an expansion
D.
equals 100 minus the employment-population ratio over the business cycle
Chapter 9 Solutions
Economics (MindTap Course List)
Ch. 9.1 - Prob. 1STCh. 9.1 - Prob. 2STCh. 9.1 - Prob. 3STCh. 9.2 - Prob. 1STCh. 9.2 - Prob. 2STCh. 9.2 - Prob. 3STCh. 9.3 - Prob. 1STCh. 9.3 - Prob. 2STCh. 9.3 - Prob. 3STCh. 9 - Prob. 1QP
Ch. 9 - Prob. 2QPCh. 9 - Prob. 3QPCh. 9 - Prob. 4QPCh. 9 - Prob. 5QPCh. 9 - Prob. 6QPCh. 9 - Prob. 7QPCh. 9 - Prob. 8QPCh. 9 - Prob. 9QPCh. 9 - Prob. 10QPCh. 9 - Prob. 11QPCh. 9 - Prob. 12QPCh. 9 - Prob. 13QPCh. 9 - Prob. 14QPCh. 9 - Prob. 15QPCh. 9 - Prob. 16QPCh. 9 - Prob. 17QPCh. 9 - Prob. 18QPCh. 9 - Prob. 1WNGCh. 9 - Prob. 2WNGCh. 9 - Prob. 3WNGCh. 9 - Prob. 4WNGCh. 9 - Prob. 5WNGCh. 9 - Prob. 6WNGCh. 9 - Prob. 7WNG
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Similar questions
- Would you expect the natural rate of unemployment to remain the same within one country over the long run of several decades?arrow_forwardIs the increase in labor force participation rates among women better thought of as causing an increase in cyclical unemployment or an increase in the natural rate of unemployment? Why?arrow_forwardThe U.S. unemployment rate increased from 4.6 in July 2001 to 5.9 by June 2002. Without studying the subject in any detail, would you expect that a change of this kind is more likely to be due to cyclical unemployment or a change in the natural rate of unemployment? My?arrow_forward
- What type of unemployment (cyclical, frictional, or structural) applies to each of the following: landscapers laid off in response to a drop in new housing construction during a recession. coal miners laid off due to EPA regulations that shut down coal fired power a financial analyst who quits his/her job in Chicago and is pursing similar work in Arizona printers laid off due to drop in demand for printed catalogues and flyers as firms go the internet to promote an advertise their products. factory workers in the U.S. laid off as the plants shut down and move to Mexico and Ireland.arrow_forwardAssume an economy at a steady-state unemployment rate with a separation rate of 0.20 per year, a job finding rate of 0.60 per year, and the labor force comprised of 3000 individuals. a) Compute the long run unemployment rate. b) How many individuals find a job each year? c) How many individuals get unemployed each year? How many individuals get employed each year?arrow_forwardIn a country with a labor force of 200, a different group of 10 people becomes unemployed each month but becomes employed once again a month later. No others outside these groups are unemployed. EXPLAIN YOUR ANSWER!a. What is this country’s unemployment rate?b. What is the average duration of unemployment?c. Suppose that establishment of a system of unemployment compensation increases to twomonths the interval that it takes each group of job losers to become employed each month. Nevertheless, a different group of 10 people still becomes unemployed each month. Now what is the average duration of unemployment?d. Following the change discussed in part (c), what is the country’s unemployment rate?arrow_forward
- Which type of unemployment is experienced by a person who is simply out of work, is actively seeking a job, and could start working immediately? structural unemployment O cyclical unemployment O frictional unemployment O seasonal unemploymentarrow_forwardCyclical unemployment -------is unemployment caused by a recession. As output (GDP) is increasing, the amount of cyclical unemployment would ▼-----------arrow_forwardWhat is meant by the full employment or the natural rate of unemployment? Which type of unemployment exists at the natural rate?arrow_forward
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