Exam 6: The Labour Market

Figure 6.4 -Refer to Figure 6.4.An efficiency wage in this economy would be represented by a real wage of ________ and an employment level of ________.

The birthrate in Canada decreased during the 1960s,and as a result

Figure 6.1 -Refer to Figure 6.1.Holding other variables constant,a decrease in the capital stock will result in a

If cyclical unemployment is eliminated in the economy,then

The marginal product of labour is

________ unemployment is short term,but ________ unemployment can last for longer periods because workers need time to acquire new skills.

Figure 6.1 -Refer to Figure 6.1.Holding other variables constant,an improvement in technology will result in a

________ is(are)the process by which new technology destroys existing jobs,but simultaneously creates jobs by making newer and better products elsewhere in the economy.

________ is the difference between the actual level of unemployment and the level of unemployment in normal times,when the economy is neither in a boom nor in a recession.

A reason why a firm's demand for labour curve slopes downward is that,holding everything else constant,

If the real wage is above the equilibrium real wage,there would be a ________ of workers and the real wage would ________.

Reducing ________ unemployment may be beneficial for an economy,but reducing ________ unemployment to zero would definitely reduce the efficiency of the economy.

How might employment insurance increase the efficiency of labour markets and the economy? How might it reduce the efficiency of labour markets and the economy?

The natural rate of unemployment consists of

Holding other factors constant,decreasing the amount and duration of unemployment benefits would likely

Holding other factors constant,building an on-line job database to help workers find jobs would likely

Figure 6.2 -Refer to Figure 6.2.Holding other variables constant,an increase in income taxes will result in a

Holding other factors constant,the implementation of a federal job retraining program would likely

If the real wage is below the equilibrium real wage,there would be a ________ of workers and the real wage would ________.

The economy reaches full employment when