( ). 13. Suppose now that in the economy, there are 20k unemployed workers and 60k employed workers. There are also 20k discouraged workers in the economy. Suppose if count the discouraged workers into our calculation of unemployment rate, then the UR will be 50%. ( ). 14. Based on the table below, the GDP deflator in year 2 is 150 (using year 1 price to calculate real GDP) Time Total production of the country Prices Year 1 100 apples, 2 cakes Papple - $1. Peake = $25. Year 2 50 apples, 2 cakes Pannic,= $1. Pcake = $50. ( ). 15. During recession, the unemployment rate will be higher and GDP growth will be lower. We call the unemployment that relates to the business cycle as cyclical unemployment. ( ). 16. As we explained in lecture, unemployment rate does not reflect discouraged workers and underemployed workers. In reality, it is very easy to measure the size of discouraged workers and underemployed workers, and adding these works back to unemployed workers can give us a more precious measurement of unemployment rate that better reflect the labor market situations