Deck 6: Jobs and Unemployment

Question 1

The working-age population consists of all civilians in the population

A)aged 15 to 65.
B)aged 18 and over.
C)who are employed plus the unemployed people.
D)aged 21 and over.
E)aged 15 and over.

Answer 1

E

Question 2

If Alice,age 32,worked 12 hours as a paid employee the week before the Labour Force Survey,Alice is classified as ________ when calculating the unemployment rate.

A)a discouraged worker
B)underemployed
C)unemployed
D)employed
E)not in the labour force

Answer 2

D

Question 3

Which of the following persons is NOT considered a part of the labour force?

A)Mary,who has a part-time job as a day care specialist.
B)Kurt,an unemployed mechanic looking for a new job.
C)Brittany,a wealthy hedge fund manager who has just taken early retirement.
D)Jameson,an accountant who has been temporarily laid off during the holiday season.
E)Lucy,who works 20 hours a week in her father's restaurant for no pay.

Answer 3

C

Question 4

The working-age population includes

A)those in jails and hospitals.
B)the total number of civilians aged 15 years and over.
C)people over the age of 15 who are working and those under the age of 65.
D)youngsters between the ages of 14 and 16 if they are working at least part-time.
E)only employed people over the age of 15.

Question 5

Ashleigh is a 26-year old who works 25 hours per week at a local café but,because of unfavourable business conditions,cannot find full-time employment.The Labour Force Survey identifies Ashleigh as ________,________ the labour force,and ________ the working-age population.

A)a discouraged job seeker;not part of;part of
B)unemployed;part of;part of
C)an underemployed worker;part of;part of
D)underemployed;part of;not part of
E)a discouraged job seeker;not part of;not part of

Question 6

In the Labour Force Survey,a person is considered unemployed if the person,during the reference week, i.had no employment.
Ii)was available for work.
Iii)had actively looked for work at any time in the four weeks up to the end of the reference week.

A)i,ii and iii
B)iii only
C)i and ii
D)ii and iii
E)i only

Question 7

The labour force includes civilians who i.are less than 15 years of age.
Ii)are employed.
Iii)are actively seeking a job but do not have a job.

A)i only
B)ii and iii
C)i and iii
D)i and ii
E)i,ii and iii

Question 8

After graduating from university,Yunis,age 22,started working for his parents' real estate business as an unpaid assistant.He works 25 hours a week helping manage rental units.In the Labour Force Survey,Yunis is considered

A)part of the labour force and employed.
B)not part of the labour force.
C)a discouraged worker.
D)part of the labour force and unemployed.
E)part of the labour force but not part of the working-age population.

Question 9

Phillip is a 22-year old who has no job and is available for work,but has not actively looked for a job in the last month.The Labour Force Survey identifies Phillip as ________,________ the labour force,and ________ the working-age population.

A)unemployed;part of;not part of
B)unemployed;part of;part of
C)a discouraged job seeker;not part of;part of
D)a discouraged job seeker;not part of;not part of
E)an underemployed worker;part of;part of

Question 10

The labour force is defined as the number of people who

A)would like to have a job but have stopped seeking work.
B)are employed plus the number of people who are unemployed.
C)are available and looking for work but are unable to find employment.
D)would like to have a full-time job but are working part-time.
E)are employed minus the number of people who are unemployed.

Question 11

The labour force is the

A)number of employed people plus the number of unemployed people.
B)number of employed people in the working-age population.
C)total population divided by the number of employed people.
D)working-age population minus the number of unemployed people.
E)number of employed people minus the number of unemployed people.

Question 12

Who of the following would be classified as employed in the Labour Force Survey?

A)April,who just graduated from university and is looking for work.
B)Richard,who is working 20 hours a week but wants a full-time job.
C)Misty,who just quit her job to return full-time to school.
D)Laura,who is unpaid but is working 10 hours a week in the family business.
E)Jason,who was laid off from work less than 6 months ago but who has stopped looking for work.

Question 13

If the number of people in the labour force ________,then ________.

A)increases;the unemployment rate definitely increases
B)decreases;the labour force participation rate increases
C)decreases,the unemployment rate does not change
D)decreases;the unemployment rate definitely decreases
E)increases;the labour force participation rate increases

Question 14

If Jose is 22-years old and available to work but does not have a job and made no specific efforts to find a job for the previous month,Jose is classified in the Labour Force Survey as

A)not in the labour force.
B)employed.
C)unemployed.
D)in the labour force but not in the working-age population.
E)not in the working-age population.

Question 15

The purpose of the Labour Force Survey is to determine the

A)number of people in the population.
B)age structure of the population.
C)income level of the population.
D)employment status of the population.
E)prices consumers pay for the goods and services they buy.

Question 16

The labour force consists of

A)the number of people who are employed.
B)the number of people who are unemployed and who are actively seeking work.
C)all civilians in the population aged 15 and over.
D)the number of people who are employed minus the number of the people who are unemployed.
E)the number of people in the working-age population who are employed or unemployed.

Question 17

Jane is a 25 year old,full-time student.She works part-time in her school library and is paid $17 an hour.She is considered to be

A)unemployed.
B)not in the labour force.
C)employed.
D)in the labour force but not working.
E)not in the working-age population because she is at university.

Question 18

If Brian,age 24,had no job but was available for work and had looked for a job in the four weeks before the survey,Brian is classified in the Labour Force Survey as

A)not in the working-age population.
B)unemployed.
C)employed.
D)a discouraged worker.
E)not in the labour force.

Question 19

The Australian Bureau of Statistics (ABS)compiles information about employment by

A)performing a census of every household in the nation.
B)determining the average estimate of labour market specialists around the nation.
C)performing a monthly survey of 27,000 households.
D)performing a quarterly survey of 270,000 households.
E)None of the above.

Question 20

Which of the following is true?

A)To be classified as employed,you must be a full-time worker at a paid job.
B)To be classified as employed,you must work at least 1 hour per week at a paid job or had a job or business from which you were temporarily absent.
C)If you are not working and turn down a job offer in the previous week,you are no longer classified as unemployed.
D)To be classified as employed,you must work at least 20 hours per week at a paid job.
E)Part-time workers are all those who work less than 40 hours per week.

Question 21

If 16 million people are employed,1.5 million people are unemployed,and the population is 28 million people,the unemployment rate is

A)8)6 per cent.
B)9)4 per cent.
C)62.5 per cent.
D)57 per cent.
E)not possible to calculate without data on the labour force.

Question 22

The working-age population of people over the age of 15 can be divided into two groups,people

A)with a job and people actively seeking a job.
B)in the labour force and people with a job.
C)in the labour force and people looking for work.
D)in the labour force and people who are not in the labour force.
E)looking for work and discouraged workers.

Question 23

In January of 2015,the population of Australia was 23.7 million,the working-age population was 19.2 million,the total number of people employed was 11.7 million,and the total number of people unemployed was 0.8 million.What was the labour force participation rate?

A)90 per cent
B)78 per cent
C)56 per cent
D)67 per cent
E)65 per cent

Question 24

If half of all unemployed individuals suddenly gave up looking for work,the unemployment rate would ________ and the labour force participation rate would ________.

A)increase;increase
B)increase;decrease
C)decrease;decrease
D)decrease;increase
E)There is not enough information to answer this question.

Question 25

If the working-age population ________ and the labour force does not change,the ________.

A)increases;unemployment rate will increase
B)decreases;unemployment rate will increase
C)increases;labour force participation rate will decrease
D)increases;labour force participation rate will increase
E)decreases;labour force will increase

Question 26

If the number of employed people is 15 million,the number of unemployed people is 5 million,and the working-age population equals 28.5 million people,the labour force participation rate is

A)81 per cent.
B)70.2 per cent.
C)25 per cent.
D)52.6 per cent.
E)17.5 per cent.

Question 27

In January of 2015,the number of employed persons in Australia was 11.7 million,the number of unemployed persons was 0.8 million,and the number of persons not in the labour force was 6.7 million.What was the working-age population in January of 2015?

A)19.2.0 million
B)15.5 million
C)18.7 million
D)10.8 million
E)There is not enough information to answer this question.

Question 28

A marginally attached worker i.does not have a job and has not looked for one in the last month.
Ii)is available and willing to work.
Iii)must work at least 1 hour per week.

A)i and ii
B)ii and iii
C)iii only
D)i only
E)ii only

Question 29

Assume the Australian population is 30 million.If 20 million people are of working age,12.5 million are employed,and 1.5 million are unemployed,what is the size of the labour force?

A)20 million
B)14 million
C)12.5 million
D)17.5 million
E)21.5 million

Question 30

The unemployment rate equals

A)(number of people unemployed ÷ labour force)× 100.
B)(number of people unemployed ÷ number of people employed)× 100.
C)(labour force ÷ working-age population)× 100.
D)(number of people employed ÷ number of people aged 15 and over)× 100.
E)(number of people employed ÷ working-age population)× 100.

Question 31

The labour force participation rate is the

A)labour force divided by the population,then multiplied by 100.
B)number of people employed divided by the population,then multiplied by 100.
C)number of people employed divided by the labour force,then multiplied by 100.
D)discouraged workers divided by the labour force,then multiplied by 100.
E)labour force divided by the working-age population,then multiplied by 100.

Question 32

In calculating the unemployment rate,part-time workers over the age of 15 are counted as

A)not in the labour force.
B)discouraged workers.
C)unemployed.
D)not in the working-age population.
E)employed.

Question 33

A marginally attached worker is

A)someone who does not have a job but is available and willing to work and has made specific but unsuccessful efforts to find a job during the past 4 weeks.
B)another name for an unemployed worker.
C)a person who is not happy with his or her job.
D)someone who does not have a job,is available and willing to work but has not made specific efforts to find a job during the past 4 weeks.
E)someone who works part-time more than 25 hours per week but wants full-time work.

Question 34

In January of 2015,the number of employed persons in Australia was 11.7 million,the number of unemployed persons was 0.8 million,and the number of persons not in the labour force was 6.7 million.What was the labour force in January of 2015?

A)12.5 million
B)14.2 million
C)15.5 million
D)5)3 million
E)There is not enough information to answer this question.

Question 35

If a significant number of part-time workers successfully find full-time employment,then

A)the unemployment rate will fall.
B)the labour force participation rate will increase.
C)the unemployment rate will remain unchanged.
D)the unemployment rate will rise.
E)Both answers A and B are correct.

Question 36

Suppose the working-age population is 50 million,the labour force is 20 million,and the unemployment rate is 15 per cent.The number of unemployed people is

A)4)5 million.
B)10.5 million.
C)7)5 million.
D)1)5 million.
E)3 million.

Question 37

If the working-age population is 20 million and the labour force is 13 million,the labour force participation rate is

A)60 per cent.
B)impossible to calculate because data on the number of employed workers is needed.
C)153 per cent.
D)35 per cent.
E)65 per cent.

Question 38

A weakness that could be noted about the unemployment rate is that it

A)considers marginally attached workers as unemployed.
B)does not count part-time workers.
C)overestimates the number of part-time workers.
D)counts discouraged workers as employed.
E)does not account for the underutilisation of workers.

Question 39

The unemployment rate is the

A)percentage of the labour force that does not have a job.
B)number of unemployed people.
C)percentage of employed people that do not have a job.
D)percentage of the population that does not have a job.
E)percentage of the working-age population that does not have a job.

Question 40

In January 2015,the population of Australia was 23.7 million,the working-age population was 19.2 million,the total number of people employed and unemployed was 12.5 million,and the total number of unemployed people was 0.8 million.What is the unemployment rate?

A)6)4 per cent
B)51 per cent
C)4)9 per cent
D)9)5 per cent
E)6)2 per cent

Question 41

The table above shows data reported by the Office for National Statistics for the United Kingdom in September 2000.In September 2000,the labour force participation rate was

A)40.3 per cent.
B)34.8 per cent.
C)58.3 per cent.
D)63.1 per cent.
E)59.7 per cent.

Question 42

During a recession the unemployment rate generally ________ and during an expansion the unemployment rate generally ________.

A)does not change;falls
B)falls;rises
C)rises;rises
D)rises;does not change
E)rises;falls

Question 43

Andrew is not working,but is available and willing to work after finishing a month-long mission trip for his church.While on his mission,Andrew did not look for work.Andrew is considered

A)a marginally attached worker.
B)a discouraged job seeker.
C)part of the labour force.
D)unemployed.
E)Both answers A and B are correct.

Question 44

Who of the following would be considered a marginally attached worker?
I)Amy,who is working 20 hours per week at her father's business.
Ii)Carl,who isn't working and has not looked for work in 3 months because he was turned down for work when he last looked.
Iii)Kayla,who quit her job to take care of her daughter.

A)i only
B)i and ii
C)ii and iii
D)i,ii and iii
E)ii only

Question 45

Rick lost his job as a logistics and distribution coordinator nearly three years ago.After a long and failed search,Rick finally gives up and stops looking for a new job.Rick's decision to suspend his job search causes the unemployment rate to ________ and the labour force participation rate to ________.

A)increase;increase
B)increase;stay the same
C)stay the same;decrease
D)increase;decrease
E)decrease;decrease

Question 46

During an expansion,the unemployment rate generally

A)falls.
B)is not affected.
C)is,by definition,below 5 per cent.
D)rises.
E)is higher than during a recession.

Question 47

Julie works part-time as a result of unfavourable business conditions.She would be considered

A)a discouraged worker.
B)unemployed as calculated by the Australian Bureau of Statistics.
C)a job seeker.
D)not in the labour force.
E)an underemployed worker.

Question 48

The ABS reports three broader measure of the unemployment,including i.the under-employment rate.
Ii)the intended labour force underutilisation rate.
Iii)the labour force underutilisation rate.

A)i and iii
B)i,ii and iii
C)i and ii
D)i only
E)ii and iii

Question 49

Suppose that Mel (who is 27)is not working,but looked for a job as recently as 2 months ago.Mel would like a job and he is available for work.He is considered

A)a member of the labour force and unemployed.
B)a marginally attached worker.
C)a member of the labour force,but not unemployed.
D)unemployed.
E)a member of the working population

Question 50

Harry works at Video-Ezy for 20 hours per week.He's asked his boss to allow him to work 35 hours per week,but has been told that business is too slow.Harry is considered

A)a discouraged worker.
B)a marginally attached worker.
C)an underemployed worker.
D)a job seeker.
E)not in the labour force.

Question 51

There were sharp increases in unemployment

A)when the government increased expenditure.
B)with the government's policy of tightening immigration policies.
C)during the recessions of 1982/83 and 1990/91.
D)during the Great Moderation.
E)during the 2000s.

Question 52

The unemployment rate generally ________ during recessions and generally ________ during expansions.

A)increases;decreases
B)decreases;decreases
C)decreases;increases
D)increases;does not change
E)increases;increases

Question 53

Discouraged job seekers

A)are counted as unemployed workers when the unemployment rate is calculated.
B)are not included in the calculation of the unemployment rate,the labour force,or the working-age population.
C)would decrease the unemployment rate if they were added to the number of unemployed workers.
D)are counted as one-half of a worker in unemployment statistics.
E)would increase the unemployment rate if they were added to the number of unemployed workers.

Question 54

The highest unemployment rate in recent Australian history was about

A)7 per cent in 2001.
B)11.1 per cent in 1992.
C)10.2 per cent in 2009.
D)16.2 per cent in 1982.
E)4 per cent in 2008.

Question 55

Discouraged job seekers who are over 15 years old are i.not counted as unemployed.
Ii)part of the working-age population.
Iii)part of the labour force.

A)i only
B)ii only
C)i and ii
D)ii and iii
E)i,ii and iii

Question 56

The table above shows data reported by the Office for National Statistics for the United Kingdom in September 2000.In September 2000,the unemployment rate was

A)3)7 per cent.
B)3)5 per cent.
C)5)5 per cent.
D)1,619 thousand.
E)5)8 per cent.

Question 57

The average unemployment rate in Australia between 1980 and 2015 is

A)11.1 per cent.
B)5)8 per cent.
C)15.7 per cent.
D)7)0 per cent.
E)8)0 per cent.

Question 58

People who are willing and able to work but are not looking for work because they have been discouraged by their previous futile efforts are called

A)involuntarily unemployed.
B)discouraged job seekers.
C)part-time lookers.
D)unhappy workers.
E)unemployed workers.

Question 59

People who are working up to 34 hours per week but would like to work more are considered

A)job leavers.
B)job seekers.
C)underemployed workers.
D)discouraged job seekers.
E)unemployed.

Question 60

During a recession,the unemployment rate

A)usually increases,but not necessarily to 10 per cent or 25 per cent.
B)usually decreases.
C)is,by definition,above 10 per cent.
D)is,by definition,above 25 per cent.
E)remains constant.

Question 61

Frictional unemployment is the result of

A)technological change or foreign competition.
B)a slowdown in the rate of economic expansion.
C)the economy entering a strong expansion.
D)normal labour market turnover.
E)changes in the weather.

Question 62

As technological advancements have led to more white collar jobs,

A)the labour force participation rate for women has decreased.
B)the labour force participation rate for women has increased.
C)the unemployment rate has steadily fallen.
D)the labour force participation rates for men and women have increased.
E)a higher percentage of men of working age have entered the labour force.

Question 63

In Australia,over the period 1980-2014 the total labour force participation rate

A)first decreased slightly and then increased significantly.
B)fluctuated substantially.
C)decreased.
D)increased.
E)remained more or less constant.

Question 64

In Australia,from 1980 to 2015,the percentage of

A)voluntary part-time workers decreased.
B)underemployed workers decreased.
C)underemployed workers rose during recessions and fell during expansions.
D)voluntary part-time workers increased significantly to over 50 per cent of the workforce.
E)None of the above answers is correct.

Question 65

The upward trend in the labour force participation rate over the past 25 years is explained by

A)the increase in the population.
B)the increase in the number of discouraged workers.
C)the increase in the male labour force participation rate.
D)the increase in the female labour force participation rate.
E)Both answers B and D are correct.

Question 66

During the period 2008/09 all three measures of the unemployment rate

A)increased sharply.
B)reached at least 10 per cent.
C)remained constant.
D)continued to decrease.
E)None of the above.

Question 67

In Australia,a reason for the increase in the labour force participation rate for women was that

A)fewer women married.
B)there was a reduction in jobs with flexible hours.
C)more women pursued a university education and so increased their earning power.
D)improved social security benefits became available for women if they worked.
E)an increase in wealth allowed men to retire early.

Question 68

Frictional unemployment is the result of

A)the economic decline of major industries.
B)changing weather throughout the year.
C)the normal process of jobs being created and destroyed.
D)an economic recession.
E)people not getting along (having friction)with their employers.

Question 69

Since 1980,the labour force participation rate in Australia has

A)increased for women and not changed for men.
B)increased for men and women.
C)decreased for men and women.
D)increased for men and decreased for women.
E)increased for women and decreased for men.

Question 70

Between 1980 and 2014,the labour force participation rate for men

A)did not change until 1992,after which it generally increased.
B)did not change.
C)fluctuated,first rising until about 1989 and falling after that.
D)increased in most years.
E)decreased in most years.

Question 71

Countries with higher than average unemployment rates have ________ compared to Australia.

A)a higher labour force participation rate
B)less regulated labour markets
C)lower levels of technology
D)higher levels of technology
E)more generous unemployment benefits and more regulated labour markets

Question 72

The women's labour force participation rate is

A)higher in the United States than in Iceland or Norway.
B)higher in Australia than in Iceland.
C)higher in Australia than in the United States.
D)higher in Australia than in Italy.
E)higher in Spain than in Iceland.

Question 73

The underutilisation rate and the extended underutililisation rate are

A)not used by the Australian Bureau of Statistics because they include too much variability.
B)broader measures of the labour force participation rate.
C)all narrower measures of the unemployment rate.
D)narrower measures of the labour force participation rate.
E)all broader measures of the unemployment rate.

Question 74

As firms search for the best employee to fill an opening and the unemployed search for the job that best fits their skills,the economy experiences

A)changes in the business cycle.
B)frictional unemployment.
C)avoidable unemployment.
D)cyclical unemployment.
E)structural unemployment.

Question 75

Across developed and newly industrialised economies,since 1989 Australia has generally had

A)the same unemployment rate as Canada and the United States.
B)a higher unemployment rate than Japan and the newly industrialising countries (Hong Kong,Singapore,Taiwan and Korea)and a lower unemployment rate than the Eurozone countries.
C)a lower unemployment rate than Hong Kong and a higher unemployment rate than Japan and the Eurozone countries.
D)a higher unemployment rate than the Eurozone countries.
E)a lower unemployment rate than Japan and Hong Kong.

Question 76

In Australia,from 1980 to 2014,the percentage of

A)voluntary part-time workers increased significantly to over 50 per cent of the workforce.
B)voluntary part-time workers increased.
C)underemployed workers fell during recessions and rose during expansions.
D)underemployed workers decreased.
E)None of the above answers is correct.

Question 77

Which of the following statements is/are true concerning the labour force participation rate?
I)The labour force participation rate for women in Australia has increased since 1980.
Ii)The labour force participation rates for women have converged to about 50 per cent.
Iii)The labour force participation rate for men in Australia has decreased since 1980.

A)i and iii
B)i and ii
C)i,ii and iii
D)i only
E)iii only

Question 78

Which of the following help explain the increase in the labour force participation rate for women?
I)There was a significant fall in the number of children women were choosing to have.
Ii)There was an increase in the educational level of women.
Iii)Technological change in the home increased the time available for work outside the home.

A)i only
B)ii only
C)i and ii
D)ii and iii
E)i,ii and iii

Question 79

The unemployment rates during the last 10 years in the Eurozone were

A)more or less constant at 3 per cent.
B)constantly lower than the unemployment rate in the United States.
C)constantly lower than the unemployment rate in Australia.
D)generally higher than the Australian unemployment rate.
E)None of the above.

Question 80

Which is true concerning the underutilisation rate?
I)It does not count marginally attached workers as unemployed.
Ii)It counts as unemployed workers who were laid off.
Iii)It is smaller than the unemployment rate.

A)i and ii
B)ii and iii
C)i and iii
D)i,ii and iii
E)i only