Homework Answers
Ans) the correct option is b) 3.0 percent
Cyclical unemployment rate = 7% - 4% = 3%
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If the natural rate of unemployment is 4.0% and the economy has a 7.0% rate of...
The natural unemployment rate is not zero because natural unemployment includes O A. cyclical and structural...
The natural unemployment rate is not zero because natural unemployment includes O A. cyclical and structural unemployment O B. frictional and cyclical unemployment Oc frictional and structural unemployment OD. Cyclical unemployment O E. discouraged workers during an expansion The unemployment rate fluctuates around the natural unemployment rate O A frictional unemployment increases, decreases OD cyclical unemployment decreases increases OG Structural unemployment increases, decreases OD. cyclical unemployment increases, decreases OL frictional unemployment decreases increases
An economy has the natural rate of unemployment equal to 8.3%. The inflation rate in the...
An economy has the natural rate of unemployment equal to 8.3%. The inflation rate in the previous period was 8.3%. If there is no cyclical unemployment and the country has adaptive expectations, what is the difference (in percentage points) between the inflation rate and the expected inflation rate?
Decoding 'Natural' Rate of Unemployment Unemployment is a normal feature of our economy and the Congressional...
Decoding 'Natural' Rate of Unemployment Unemployment is a normal feature of our economy and the Congressional Budget Office believes the "natural" unemployment rate increased from 5 percent in 2007 to 6 percent in 2012. Source: Wall Street Journal, September 7, 2012 Provide some reasons why the natural unemployment rate might have increased. The natural unemployment rate might have increased because of _______. A. an increase in the minimum wage and an increase in the number of firms paying an efficiency...
The unemployment rate that is consistent with "full employment" and the "natural rate of unemployment" is...
The unemployment rate that is consistent with "full employment" and the "natural rate of unemployment" is OA. zero OB. cyclical unemployment. ° C, the sum of the frictional rate and structural rate. OD, 4 percent.
The following table shows data on frictional, cyclical, structural, and total unemployment for an economy. Unemployment...
The following table shows data on frictional, cyclical, structural, and total unemployment for an economy. Unemployment Type Frictional Rate (Percent) 3.6 0.0 Cyclical Structural Total unemployment True or False: This economy is currently at its natural rate of unemployment. True O False
Question 16 4 pts Suppose that in an economy the structural unemployment rate is 2.1 percent,...
Question 16 4 pts Suppose that in an economy the structural unemployment rate is 2.1 percent, the frictional unemployment rate is 2.3 percent, and the unemployment rate is 12.1 percent. The natural unemployment rate is ___percent and the cyclical unemployment rate is _percent. 4.4; 7.7 O 0.2; 9.9 10; 3.1 7.7; 4.4
The natural rate of unemployment is the unemployed rate when the economy is fully employed with...
The natural rate of unemployment is the unemployed rate when the economy is fully employed with AS = AD; and the Long- run supply curve is vertical at this point of equilibrium; or, the rates arrived at by adding up frictional and structural). If the AS=AD occurs to the left of the vertical supply curve, the unemployment is normal ( includes all three types = cyclical, frictional, and structural). True False
An economy experiencing healthy macroeconomic conditions a.Is performing below potential; has zero percent overall unemployment rate;...
An economy experiencing healthy macroeconomic conditions a.Is performing below potential; has zero percent overall unemployment rate; and has zero percent cyclical unemployment. b.Is performing below potential; has unemployment rate equal to the natural rate; and has zero percent frictional unemployment. c.Is performing at potential; had unemployment rate equal to the natural rate; and has zero percent cyclical unemployment. d.Is performing at potential; has zero percent overall unemployment rate; and has zero percent cyclical unemployment. Suppose your uncle started college in...
The natural unemployment rate is the unemployment rate when the economy is in A neither a...
The natural unemployment rate is the unemployment rate when the economy is in A neither a recession nor a boom. B any part of the business cycle. C a boom. D a recession
13. Which of the following statements is (are) correct? (x) The natural rate of unemployment is...
13. Which of the following statements is (are) correct? (x) The natural rate of unemployment is the amount of the unemployment that the economy normally experiences. (y) Cyclical unemployment refers to the year-to-year fluctuations of unemployment around its natural rate that are due to short-run ups and downs of the economy (z) Suppose the natural rate of unemployment is 5.5 percent and the current rate of unemployment is 8.1 percent. The cyclical unemployment rate is a positive value of 2.6...
The natural unemployment rate is not zero because natural unemployment includes O A. cyclical and structural unemployment O B. frictional and cyclical unemployment Oc frictional and structural unemployment OD. Cyclical unemployment O E. discouraged workers during an expansion The unemployment rate fluctuates around the natural unemployment rate O A frictional unemployment increases, decreases OD cyclical unemployment decreases increases OG Structural unemployment increases, decreases OD. cyclical unemployment increases, decreases OL frictional unemployment decreases increases
The unemployment rate that is consistent with "full employment" and the "natural rate of unemployment" is OA. zero OB. cyclical unemployment. ° C, the sum of the frictional rate and structural rate. OD, 4 percent.
The following table shows data on frictional, cyclical, structural, and total unemployment for an economy. Unemployment Type Frictional Rate (Percent) 3.6 0.0 Cyclical Structural Total unemployment True or False: This economy is currently at its natural rate of unemployment. True O False
Question 16 4 pts Suppose that in an economy the structural unemployment rate is 2.1 percent, the frictional unemployment rate is 2.3 percent, and the unemployment rate is 12.1 percent. The natural unemployment rate is ___percent and the cyclical unemployment rate is _percent. 4.4; 7.7 O 0.2; 9.9 10; 3.1 7.7; 4.4
The natural unemployment rate is the unemployment rate when the economy is in A neither a recession nor a boom. B any part of the business cycle. C a boom. D a recession
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