Help Design References Review View Tell me what you want to do Home Insert Layout Mailings do Cut 12 A Aa AaBbCcDC AaBbCc ED Copy Normal 1 No Spa te B I U~ abe Format Painter Paragraph Clipboard Font RENEW YOUR SUBSCRIPTION To create or edit files, you'll need to renew your subscription Renew Areas with ieque a response via checkne a , supply theR Un your answer CHTOR Some areas may require you to type in your answer If you prefer to write your answe on a separate document this is also acceptable 1. Types of unemployment The three people described in the following table are categorized as unemployed by the Bureau of Labor Statistics Identity each person in the table as structurally, Inctionally, or cyclically unemployed. Unemployment Type Structural Frictional Cyclical Megan is a physician who has decided to relocate to California to be closer to her family She is currently interviewing with several prestigious hospitals in the San Diego area Larry left his job as an electrician when his wife took a position in another region. The quantity of electrical services demanded is considerably lower in the new region, in part because of high union-negotiated wages. He would like to work at the high union wage but remains unemployed due to a lack of electrician jobs. A recent recession has reduced the number of visitors to a local water park. The park has had to lay off many of its employees, including Susan. The following table presents data on frictional, cyclical, structural, and total unemployment for an economy 1354 words 2 % Accessibility. Investigate Type here to search a WRate Unemployment Type (Percent) Frictional 3 3 Cyclical 00 Structural 10 Total unemployment 43 True or False This economy is not currently at its natural rate of unemployment, True False 2. Sectoral shifts, frictional unemployment, and job searches Suppose the world price of tobacco falls significantly. The demand for labor among tobacco-producing firms in Kentucky will INCREASE OR DECREASE The demand for labor among cigarette manufacturing firms in Virginia, which use tobacco as an input, will INCREASE OR DECREASE. The temporary unemployment that results from sectoral shifts such as the ones describes above is best categorized as STRUCTURAL OR CYCLICAL OR FRICTIONAL OR SEASONAL unemployment Suppose the government wants to reduce this type of unemployment. Which of the following policies would help achieve this goal? Check all that apply. Improving a widely used job-search website so that it matches workers to job vacancies more effectively Extending the number of weeks for which unemployed workers are eligible for unemployment insurance benefits from the government Establishing government-run employment agencies to connect unemployed workers to job vacancies 3. The theory of efficiency wages Why might some firms choose to pay workers a wage above the market equilibrium, even with a surplus of labor in the market? Check all that apply. Higher wages cause workers to shirk more of their responsibilities. Higher wanes attract a more competent nook of workers 67F Mostly cloudy ~ 0 4 4 4 KANLY ins art so delete CLSuppose the world price of tobacco falls significantly. The demand for labor among tobacco-producing firms in Kentucky will INCREASE OR DECREASE The demand for labor among cigarette manufacturing firms in Virginia, which use tobacco as an input, will INCREASE OR DECREASE The temporary unemployment that results from sectoral shifts such as the ones describes above is best categorized as STRUCTURAL OR CYCLICAL OR FRICTIONAL OR SEASONAL unemployment Suppose the government wants to reduce this type of unemployment. Which of the following policies would help achieve this goal? Check all that apply Improving a widely used job-search website so that it matches workers to job vacancies more effectively Extending the number of weeks for which unemployed workers are eligible for unemployment insurance benefits from the government Establishing government-run employment agencies to connect unemployed workers to job vacancies 3. The theory of efficiency wages Why might some firms choose to pay workers a wage above the market equilibrium, even with a surplus of labor in the market? Check all that apply Higher wages cause workers to shirk more of their responsibilities. Higher wages attract a more competent pool of workers. Paying higher wages enhances workers to adopt healthier lifestyles, enhancing their productivity. Paying higher wages can reduce a firm's training costs 67F Mostly cloudy ~ 0 VIGDP Exports Imports Exports - Imports (Billions of (Billions of (Billions of (Billions of (Percentage Year dollars) dollars) dollars) dollars) of GDP) 1997 8,332.0 954.4 1,055.8 1998 8,794.0 953.9 1,115.7 1999 9,354.0 989.3 1,251.4 171 2000 9,952.0 1,093.2 1,475.3 2001 10,286.0 1,027.7 1,398.7 Source: "Income, Expenditures, Poverty, & Wealth. Gross Domestic Product (GDP)," United States Census Bureau, United States Department of Commerce, last modified September 2011, accessed June 10, 2013, https://www.census.gov/library/publications/2011/compendia/statab/131ed/income- expenditures-poverty-wealth.html. Between 1999 and 2000, the SURPLUS OR DEFICIT, GREW OR SHRANK OR REMAINED THE SAME in dollar terms and GREW OR SHRANK OR REMAINED THE SAME as a percentage of GDP 8. Accounting for trade in goods and services Suppose the following transactions occur during the current year 1. Lorenzo orders 60 cases of beer from a Dutch distributor at a price of $40 per case 2. A U.S. company sells 300 axles to a Spanish company at $15.00 per axle. 3. Sam, a U.S. citizen, pays $1,500 for a computer he orders from Honeycrisp (a U.S. company) Complete the following table by indicating how the combined effects of these transactions will be reflected in the U. S. national accounts for the current year 67'F Mostly cloudyNormal 1 No Spac... He B I abe X X A Font Paragraph SCRIPTION To create or edit files, you'll need to renew your subscription Renew 4. Problems and Applications Q2 Indicate what happens to the unemployment rate and the labor force participation rate in each of the following scenarios. INDICATE WHETHER IT INCREASES OR DECREASES OR STAY THE SAME FOR EACH SCENARIO UNDER UNEMPLOYMENT AND LABOR FORCE PRODUCTION. Scenario Unemployment rate Labor-Force production Charles, a full time college student, graduates and is immediately employed. Dina is on matemity leave and will resume working in two months. Gilberto has a birthday, becomes an adult, and starts working in a restaurant. Lorenzo, a construction worker, dies in an accident at work 5. & 6. Problems and Applications Q4 & Q6 Between January 2012 and January 2019, U.S. employment increased by 17.3 million workers, but the number of unemployed workers declined by only 6.3 million. True or False: The labor force has decreased. True False A manufacturing worker who loses a job at a plant in an isolated area is more likely to experience SHORT-TERM OR LONG-TERM unemployment. 7, imports, exports, and the trade balance The following table shows the approximate value of exports and imports for the United States from 1997 through 2001. Accessibility, investigate are to search a O W /1/1AaBb AaBbCcD AaB AaBbCCC AoBbCCDI AOBbCCD AGBLLC AaBbCCDC AGROCCD( AaBbCCD( AABBCCDE Heading 2 Heading 3 Title Subtitle Subtle Em... Emphasis Intense E. Intense O.. Subtle Ref... Styles Determine the effects of this transaction on exports, imports, and net exports in the U.S. economy, and enter your results in the following fable. If the direction of change is "No change, " enter "0" in the Magnitude of Change column. Under "Direction of Change" indicate whether it INCREASES or DECREASES or NO CHANGE Hint: The magnitude of change should always be positive, regardless of the direction of change. Magnitude of Change Direction of Change (Dollars) Exports Imports Net Exports Because of the identity equation that relates to net exports, the INCREASE OR DECREASE in U.S. net exports is matched by AN INCREASE OR A DECREASE in U.S. net capital outflow. Which of the following is an example of how the United States might be affected in this scenario? Check all that apply. The South Korean chili oil producer hangs on to the $2,500,000 so that it can use the U.S. dollars to make investments. The South Korean chili oil producer purchases $2,500,000 worth of stock spread out over a few U.S. companies. The United States sells $2,500,000 worth of bonds to the South Korean chili oil producer. ? 67'F Mostly cloudy KAKIAaBbCCD