Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Question 2 In the country of Apple the labour force is constant and equal to 20,opo. Over the period of a year the job separation

image text in transcribed
Question 2 In the country of Apple the labour force is constant and equal to 20,opo. Over the period of a year the job separation rate is 0.02 and the job finding rate is o.1} (a) In the long-run (when there is no change in the unemployment rate) what is the equilibrium unemployment rate? (13-33 percent) (b) In the long-run, how many people move from employment to unemployment during a year? (347 persons (rounded to nearest whole number)) (c) In the long-run, how many people move from unemployment to employment during a year? (347 persons (rounded to nearest whole number)) (d) If the government of Apple could implement a policy to increase the job finding rate to o.15, what would be the long-run effect on the equilibrium rate? (Decrease to 11.76 percent)

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

China's Air Pollution Problems

Authors: Claudio O Delang

1st Edition

1317209281, 9781317209287

More Books

Students also viewed these Economics questions