Exam 9: Inflation and Unemployment

Mee Ming works in her own home as a full-time caregiver and homemaker.Officially,she is:

Full-time employed = 80 Part-time employed = 25 Unemployed = 15 Discouraged workers = 5 Consumer Price Index = 110 -The rate of inflation:

Suppose that there are 1 million unemployed workers seeking jobs.After a period of time,100,000 of them become discouraged over their job prospects and cease looking for work.As a result,the official unemployment rate would:

The economic cost of unemployment can be measured by the:

If a price index rises from one year to the next:

Suppose that a nation's nominal GDP is $972 billion and the GDP deflator is 90.In order to make this year's GDP comparable to the reference year GDP,this year's GDP must be:

If real GDP in 2007 dollars is $1500 billion and the unemployment rate is 7.5 percent when the natural unemployment rate is presumed to be 6.5 percent,then according to Okun's law how much higher could real GDP have been if the economy were operating at its potential output?

A price index is:

A college or university graduate searching for a job following graduation would best be classified as:

The presence of discouraged workers:

The rate of inflation can be found by subtracting:

Inflation is undesirable because it:

Cyclical unemployment is a consequence of:

Full-time employed = 80 Part-time employed = 25 Unemployed = 15 Discouraged workers = 5 Consumer Price Index = 110 -The unemployment rate is:

Ms.Eckstein has lost her job in a Quebec textile plant because of import competition.She intends to take a short course in electronics and move to Alberta where she anticipates new jobs will be available.We can say that Ms.Eckstein is faced with:

Although economists disagree as to the level of the natural unemployment rate,most agree that full employment means an unemployment rate of about:

Suppose that GDP in current dollars was $360 billion in 2006 and $450 billion in 2012.The GDP deflator was 120 in 2006 and 125 in 2012.It can be concluded that,between 2006 and 2012,real GDP:

According to David Foot's demographic analysis:

The unemployment rate is the:

Suppose that a person's nominal income rises from $10 000 to $11 000 and the consumer price index rises from 100 to 105.The person's real income will: