IB Econmics (SL): Macroeconomic objective - Low unemployment

Unemployment refers to people in the working population who are actively looking for work but are unable to find it.

• True

• False

Which of the following is NOT an example of unemployment?

• A strawberry picker who is looking for work in winter

• A waiter who has lost their job due the Covid-19

• A father who has decided to stay home to look after the children while his wife goes to work.

• A teacher who is in between jobs at the end of one school year and the beginning of the next.

Which of the following is least likely to be in the labour force?

• A university graduate

• A 66 year-old mailman

• A mother choosing to return to work once her children start school

• An immigrant who is qualified as a doctor

Which of the following is a difficulty in measuring unemployment?

• It does not identify unemployment between different groups in society

• It does not identify hidden unemployment

• It does not include those working in parallel / back markets

• All of the above

Which of the following is NOT an economic consequence of unemployment?

• household indebtedness

• greater unequal distribution of income

• decrease in tax revenue for the government

• decrease in GDP

A snow skiing instructor is out of work in the summer months. What type of unemployment is this?

• structural

• frictional

• seasonal

• cyclical

An engineer on an oil rig loses his job due to the significant decrease in the price of oil. What type of unemployment is this?

• structural

• frictional

• seasonal

• cyclical

A factory worker loses their job due to Covid-19. What type of unemployment is this?

• structural

• frictional

• seasonal

• cyclical

Which of the following is NOT an example of a labour market rigidity?

• minimum wage legislation

• employment protection laws

• the removal of unemployment benefits

• increase trade union power

What type of unemployment does the diagram illustrate?

• structural

• frictional

• seasonal

• cyclical