Macroeconomics (Fourth Edition)
4th Edition
ISBN: 9780393603767
Author: Charles I. Jones
Publisher: W. W. Norton & Company
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Chapter 7, Problem 4E
To determine
Effect of decrease in price of oil on wage, employment–population ratio, and
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Suppose the world price of steel falls substantially. The demand for labor among steel-producing firms in Pennsylvania will . The demand for labor among automobile-producing firms in Michigan, for which steel is an input, will . The temporary unemployment resulting from such sectoral shifts in the economy is best described as 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.
Establishing government-run employment agencies to connect unemployed workers to job vacancies
Taxing the price of placing a resume or posting a job opening on a job-search website
Increasing the benefits offered to unemployed workers through the government's unemployment insurance program
Which of the following is INCORRECT? In a typical
month more than 5 percent of workers leave their jobs.
Frictional unemployment is inevitable in a dynamic
economy. Although the unemployment created by
sectoral shifts is unfortunate, in the long run such
changes lead to higher productivity and higher living
standards. At least 10 percent of U.S. manufacturing
jobs are destroyed every year.
In 2014, some European countries were dealing with a recession. Workers who were laid off in those countries due to the economic downturn would be
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Macroeconomics (Fourth Edition)
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