Typically, even at similar stages of the economic cycle, the unemployment rate in several West European countries is higher than in the United States. To what extent can the above observation possibly be linked or not with the fact that in Europe: (1) the unionization rate is higher (2) laws often make it more difficult to lay off people, (3) collective bargaining is more or less centralized, (4) unemployment insurance programs are relatively more generous.

Typically, even at similar stages of the economic cycle, the unemployment rate in several West European countries is higher than in the United States. To what extent can the above observation possibly be linked or not with the fact that in Europe: (1) the unionization rate is higher (2) laws often make it more difficult to lay off people, (3) collective bargaining is more or less centralized, (4) unemployment insurance programs are relatively more generous.

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

See similar textbooks

Similar questions

Suppose that a labor economist performs a statistical analysis on economywide worker wages using standard, measurable explanatory factors, such as job characteristics, years of schooling, and so forth. How much of the variation in worker wages can be accounted for by such measurable explanatory factors? Somewhat more than 60% Nearly 100% Somewhat less than 50% About 0% Which of the following factors are typically omitted from the quantitative analysis of wages but can help explain otherwise unaccounted-for disparities? Check all that apply. Chance Attractiveness Natural ability Effort Race O O O O
What is the national definition of unemployment adopted in Afghanistan? The definition must specify (i) the working age group; (ii) maximum number of hours per week beyond which the person will no longer be consider unemployed; (iii) reference period (number of weeks or days) for looking for job; and (iv) working hours reference period for availability to start a job.
For each of the following separate scenarios, determine if the labor force participation rate will increase or decrease. Group of answer choices ( Choose) Labor force participation rate will decrease or Labor force participation rate will Increase A) More companies allow workers to work from home. B) The government increases the financial aid received by full-time students. C) Companies receive government subsidies for hiring high-school graduates. D) Some discouraged workers re-enter the labor force to look for work.
While economists measure unemployment at the macroeconomic level, microeconomic forces are often responsible for this macro aggregate. In other words, the tie between microeconomics and macroeconomics is inevitable when discussing the level of unemployment in an economy. Suppose the following graph represents the market for unskilled labor in a fictional economy. These workers typically represent the young, inexperienced, or uneducated part of the labor force and are therefore most effected by changes in the unemployment rate. Use the graph input tool to help you answer the following questions. You will not be graded on any changes you make to this graph
How can seasonal unemployment be alleviated? Should it be alleviated? Why or why not?
If the rate of separation is 10% and the rate of finding a job is 20%, then the equilibrium unemployment rate is a) 33.33% b) 50.00% c)) 66.67% d) 100.00% 2) When there is an increase in the rate of unionization in an economy, then a) frictional unemployment increases. b) the natural rate of unemployment increases. c) both a) and b) are correct. d) neither a) nor b) are correct. 3) If the Philips curve is ?? = ????- 3(?? - ?? ??) + ?? and there are no supply shocks. If monetary policy's target is 6%, the natural rate of unemployment is 6%, and inflation has been 9%, what does the unemployment rate have to be to achieve their target? a) 3% b) 6% c) 7% d) 9% 4) If the sacrifice ratio is estimated to be 3, then to reduce inflation by 3 percentage points, would require a) a total output increase of 1% v. b) a total output increase of 9%. c) a total output decrease of 1%. d) a total output decrease of 9%. 5) Which of the following would be an explanation for a hysteresis effect that…
An economy is described by the following equations C = 62 + 0.6 (Y - T) T = 100 IP = 200 G = 80 NX = -30 Y* = 600 find the level of total unemployment at Y (actual output). Assume the Natural rate of Unemployment = 5%
When unemployment exists in the supply and demand labor market model, there is an adjustment that brings the model back into equilibrium—back to full employment. Orthodox economists cite two mechanisms that cause the adjustment. Explain each of these.
Classify each of the below individuals as employed, unemployed, not in the labor force, or not in the adult, civilian, non-institutionalized population. A 14-year old who babysits on the weekend: employed, unemployed, not in the labor force, or not in the adult, civilian, non-institutionalized population. An active-duty soldier who volunteers without pay in the community: employed, unemployed, not in the labor force, or not in the adult, civilian, non-institutionalized population. A parent who has stopped looking for jobs in order to take care of the children: employed, unemployed, not in the labor force, or not in the adult, civilian, non-institutionalized population. A student who has begun applying for jobs but has not yet found one: employed, unemployed, not in the labor force, or not in the adult, civilian, non-institutionalized population. An actor who works part-time at a restaurant but is looking for full-time work: employed, unemployed, not in the labor force, or not in…
Why is the unemployment rate amongst the Native Americans so high? Provide the relevant data and an explanation of this phenomenon.
"Unemployment is defined as a state of work lessness for a person who is fit and willing to work at the current wage rate. It is a condition of involuntary and not voluntary idleness". Explain different types of unemployment in the light of above statement.
You're advising a democratic government, and the leaders ask you about what kind of labor market regulations it should consider. Its only goal--I really mean only!--is to keep the unemployment rate as low as possible. It's considering a law that would make it expensive to fire workers, in order to reduce the number of workers entering the pool of the unemployed. According to labor search theory, what effect would this have on the job separation rate? On the job hiring rate? On the average (or steady-state) unemployment rate? Be sure to answer all three questions, and also answer this fourth question: Can you give this government clear advice to their precise question, or will your answer be a version of "It depends"?