Question 1 (1 point) Civilian population: 230 million People incapable of working: 70 million People not looking for work: 50 million Employed workers: 95 million What is the unemployment rate of this economy? O 13.6% O 15.8% 0 47.8% O 34.5% O 21.7% Question 2 (1 point) National Unemployment Rate Below Previous Peaks 10 8% Peak 8.3% Current: 5.6% According to the information, if the shaded areas indicate a recession, unemployment rates O rise during economic recessions. fall during economic recovery periods. O are not affected during economic recessions. O rise during economic recovery periods. Ofall during economic recessions.Question 3 (1 point) Which of these individuals is classified as unemployed? O a computer programmer who retired early at age 47 O a recent college graduate looking for his first job 0 a laid-off factory worker who has given up looking for a new job 0 a barista who works as at a coffee shop 20 hours a week but would like to increase their hours a 15-year-old high school student who is searching unsuccessfully for a summer job as a lifeguard Question 4 (1 point) A period of expansion and contraction of aggregate economic activity measured by real GDP is called a O lag. 0 Consumer Price Index. 0 growth indicator. 0 real GDP. 0 business cycle. Question 5 (1 point) The country of Econoland released their economic statistics for the previous fiscal year today. Overall, unemployment increased to 4.5%, a factor made worse by the closing of the nation's main employer, National Horse and Buggy. Jobs were added, however, in the road-building sector of the economy, as more people began driving cars this year. Government economists were not worried by the loss of jobs during June, July, and August, as tourism often declines in the warmest months each year. Inflation, which was under control for much of the year, spiked unexpectedly in the 4th Quarter, likely due to the rapid rise in prices of Econoland's imported fuel. The year ended with an inflation rate, which had been 3.4% until Q4, at over 8%. Which TWO forms of unemployment are being described in this passage? Select 2 correct answer(5) C] Cyclical C] Seasonal [j Frictional C] Structural Question 6 (1 point) The country of Econoland released their economic statistics for the previous fiscal year today. Overall, unemployment increased to 4.5%, a factor made worse by the closing of the nation's main employer, National Horse and Buggy. Jobs were added, however, in the road-building sector of the economy, as more people began driving cars this year. Government economists were not worried by the loss of jobs during June, July, and August, as tourism often declines in the warmest months each year. Inflation, which was under control for much of the year, spiked unexpectedly in the 4th Quarter, likely due to the rapid rise in prices of Econoland's imported fuel. The year ended with an inflation rate, which had been 3.4% until Q4, at over 8%. Who would MOST likely be NEGATIVELY affected by the inflation described in this passage? 0 People who regularly vacation to Econoland. 0 Banks collecting loans from Econoland citizens. O Retired people living in Econoland. 0 People who borrowed money from Econoland banks. Question 7 (1 point) Over a three year period, the United States experienced an increase in the real GDP, low inflation, and a declining unemployment rate. For this period, the United States 0 appeared to be entering a recession. O was in the middle of an economic boom. 0 was dealing with contractionary monetary policies. 0 was in a stagnant economic period. 0 was in an economic trough. Question 8 (1 point) Because discouraged workers are not counted in the labor force, critics argue that 0 changes in GDP are incorrectly tracked. O unemployment problems are understated. O the labor force participation rate is too precise. O the unemployment rate is artificially high. Q discouraged workers should be counted as employed. Question 9 (1 point) Town of Coffeeville Total Population: 225,000 Working Age Population: 144,000 Employed: 124,000 Unemployed: 20,000 What is the unemployment rate of Coffeeville? O 13.9% O 19.8% O 16.1% O 8.9% Question 10 (1 point) Saved Which of these is an economic indicator used to tell how an economy is doing? 0 Presidential Approval Rate 0 Consumer Price Index 0 Equilibrium Price @ Job Satisfaction Rate Question 11 (2 points) Real GDP 552 Listed in the Item Bank are some important labels for sections of the image here. Match each label to the corresponding area it identifies in the image. \fQuestion 12 (1 point) Which statement supports why GDP is a good indicator of economic growth? 0 GDP quantifies the production of goods and services and accurately indicates the size of the economy. 0 GDP treats replacement capital the same as the creation of new capital. 0 GDP does not include negative externalities indicative of consumption and production costs. 0 GDP does not include the degree of income inequality in society. 0 GDP excludes non-market transactions. Question 13 (1 point) Choose the answers that would be used in the calculation of GDP to signify economic growth. Select 3 correct answerls) C] capital equipment and housing C] manufactured goods and agriculture products from outside countries C] used and intermediate goods C] food and clothing C] schools and road construction Question 14 (5 points) Match the item from the item bank to its corresponding definition. This is an economic measure of inflation in the domestic economy, and is determined by tracking the prices of a specific set of goods and services purchased by the public. This is the term used to describe the general way in which people live, focusing primarily on things like average income, health care availability, life expectancy, educational attainment, etc. The percentage of the civilian workforce who are available for a job but do not have one. This one of the measures of national income and output for a given country's economy and is defined as the total market value of all final goods and services produced within the country in a calendar year. Cyclical Unemployment Consumer Price Index Gross Domestic Product Structural Unemployment Unemployment Rate GDP per Capita Standard of Living \fQuestion 15 (1 point) Real GDP Time At which point on the business cycle would you most likely find cyclical unemployment? 0 Peak 0 Contraction O Trough 0 Expansion Question 16 (1 point) Econoland is a small nation. Its population total is 1000, and it has 600 wage earners who earn an average of $150 per year. Each wage earner spends a total of $120 per year buying goods and services of which $8.00 goes to buying imported goods. The nation exports a total of $1500 worth of goods. The Government tax rate is 7% and all government money is spent on education. There is only one industry (auto assembly) and it employs every wage earner. The industry spends $1200 each year on assembly line technology. What is the GDP? 0 $73,400 0 $76,200 0 $75,200 0 $74,300