Examine each of the following changes in John Carter's labour market activity and explain whether they constitute unemployment, employment or being out of the labour force. If unemployment which type of unemployment is represented? a. John graduates from Barsoom High and starts looking for a job. b. John has no luck in finding the full-time job he wants and takes a part-time job cleaning out the canals. c. Canal-cleaning does not work out for John because of unforeseen allergies so he quits. d. Discouraged by the lack of work, John stops looking and stays home watching his favorite soap opera: As the stomach turns. e. John sees an advertisement on TV for the Barsoom Swordfighter School and enrolls to get his BSF. f. John graduates at the top of his class and joins the Princess Dejah Thoris guards. g. Barsoom College invests a new laser personal defense system and the Princess disbands her guards - John spends a long time looking for work. h. John sees an advertisement seeking someone to help explore the lost city of Rhiannon and signs up as security - the six-armed tribes are particularly ferocious there. Part B: True/False with explanation: Employment and Unemployment; Full employment (24 marks) 1. The employment to population ratio is the percentage of the working-age population in the labour force. 2. If the employment to population ratio increases, unemployment always decreases. 3. George was laid off last month, and is waiting to be recalled to his old job, so he is not actively seeking other work. George is NOT counted as unemployed. 4. If the working-age population is 600000, employment is 400000, and unemployment is 30000, then the unemployment rate is 7% 5. A fulltime college student seeking a job is counted as unemployed. 6. If the number of discouraged workers decreases, the employment to population ratio decreases as they begin to look for jobs. 7. Discouraged workers are counted as unemployed but probably should not be. 8. Being unemployed for a few months after graduating from school always hurts the graduate. 9. A decline in the number of jobs in the automobile sector matched by an equal increase in the number of jobs offered in the banking sector will NOT alter the unemployment rate. 10. At full employment there is no unemployment. 11. Biff has graduated from high school and is looking for his first job. Biff is frictionally unemployed. 12. Fluctuations in unemployment over the business cycle create frictional unemployment.