Exam 6: Measuring Inflation and Unemployment

_____ is an index of the average prices for all goods and services in the economy and is the broadest measure of inflation.

The price level is the absolute level of a price index, such as the consumer price index.

Roughly half of unemployment normally consists of:

In the United States, people are considered unemployed if and when they:

The producer price index contains:

The current consumer price index is:

To convert a nominal change to a real change in dollar terms, the base year index must be set at 100.

Which of the following statements regarding the types of unemployment is TRUE?

All of the following types of wages can cause unemployment EXCEPT:

Which of the following groups benefits from an unanticipated rise in the inflation rate?

If inflation is unanticipated, then income may be redistributed from creditors to debtors.

Full employment:

The key to being counted as unemployed by the Bureau of Labor Statistics is to be:

Core inflation is more stable than headline inflation because the two most volatile components are not included in core inflation.

Young females have a higher unemployment rate than young males.

Which of the following statements does NOT describe a problem in measuring the consumer price index (CPI)?

Which of the following statements about stopping hyperinflation is NOT correct?

Janessa was laid off as a photo lab technician because of the lack of customers. She then found a job at a movie rental store, but was again laid off one month later when the store shut down. Janessa's bad luck staying employed is most likely due to:

When the economy is operating at full employment:

The Bureau of Labor Standards collects a random sample of different goods and services every month in order to achieve statistical uniformity.