31. The natural rate of unemployment ismade up ofa.seasonal and structural unemployment.b. frictional and cyclical unemployment.c. frictional, cyclical, and structural unemployment .d. frictional and structural unemployment.e. cyclical and structural unemployment.32. The recession that followed the global financial crisis of 2007-2009 caused in Canada. a. a drop in the working age populationb. less government spendingc. a rise in the labour force participation rated. less unemploymente. an increase in the duration a typical unemployed person was out of work33. The substitution bias in the consumerprice index refers to the idea thatconsumers..............the quantity of products they buy in response to price, and the CPI does not reflect this and............the cost of the market basket.a. do not change; overestimatesb. do not change; underestimatesc. do not change; does not changed. change; overestimatese. change; underestimates36. Which of the following cause the unemployment rate as measured by Statistics Canada to overstate the trueextent of joblessness?a. counting people as employed who are working part time, although they would prefer to be working full time b. unemployed persons falsely report themselves to be actively looking for a jobC.inflationd. people choosing not to participate in the labour forcee. discouraged workers37. Which of the following is the smallest portion of the market basket of goods that makes up the CPI?a. shelterb. clothingc. alcohol and tobaccod. foode. transportation38. Which of the following price indicescomes closest to measuring the cost ofliving of the typical household?a. consumer price indexb. producer price indexc. household price indexd. GDP deflatore. house price index39. You earned $30,000 in 2010, and yoursalary rose to $80,000 in 2020. If the CPIrose from 82 to 202 between 2010 and2020, which of the following is true?a. The purchasing power of your salary fell between 2010 and 2020.b. The purchasing power of your salary increased between 2010 and 2020.c. There was deflation between 2010 and 2020.d. There is no way to compare the purchasing power of your salary between 2010 and 2020.E. The purchasing power of yoursalary remained constantbetween 2010 and 2020.40. Your grandfather tells you that he earned$5,000/year in his first job in 1971. Youearn $45,000/year in your first job in2017. You know that average prices haverisen steadily since 1961. You earna. more than 9 times as much asyour grandfather in terms ofnominal income.b. less than 9 times as much as yourgrandfather in terms of realincome.c. 9 times as much as yourgrandfather in terms of realincome.d. less than 9 times as much as yourgrandfather in terms of nominalincome.e. more than 9 times as much asyour grandfather in terms of realincome.41. The labour force participation rates ofwomen have rapidly increased since1976.Select one:O TrueO False42. The unemployment rate in Canada istypically higher for teenagers relative toother workers in part because of theimpacts of minimum wage laws.Select one:O True False

Question 22 ECON_1950_02_202230 Table 5.14 Not yet Nominal answered Participants Average Marked out of Hourly CPI (2002 = 1.00 Grades Year Earnings 100) P Flag 1956 $1.53 14.3 question ctions 2020 25.14 127.3 The table above reports the nominal Resources average hourly wage and the consumer price index for 1956 and 2020. Activities Forums Refer to Table 5.14. The percentage change in real average wage from 1956 to Quizzes 2020 equals Media Gallery O a. 84.6 percent. O b. 8.7 percent. Dashboard O c. 21.7 percent. O d. 154.3 percent. My Media O e. 2.0 percent. Calendar Question 23 Table 5.18 Private files Not yet Nominal answered CPI Year Average My courses Marked out of (2002 = 100) Hourly Earnings 1.00 2017 $25.11 26.6 ECON_1950_02_202230 P Flag 2018 25.48 128.1 question ECON_1900_02_202230 2019 25.90 131.2 MNGT_1710_01_202230 Refer to Table 5.18. Looking at the table above, real hourly earnings between 2018 W122 Int'l Orientation and 2019 changed by International Guide O a. 0.3 percent. Summer 2022 O b. 1.6 percent. O c. 2.4 percent. BG-SOBE O d. -1.8 percent. Undergraduate O e. -0.75 percent