ECON Unemployment Quiz

How does a leftward shift of the Aggregate Supply (AS) curve in an AD/AS graph impact unemployment?

• It decreases unemployment due to higher demand for workers.
• It does not affect unemployment.
• It increases unemployment due to a reduction in the productive capacity of the economy.
• It only affects unemployment in the long run.

What does the point where the supply and demand curves intersect in a labor market graph represent?

• Natural Rate of Unemployment
• Equilibrium Employment
• Maximum Employment
• Structural Unemployment

Identify the type of unemployment shown in this graph, where unemployment rises during a recession and falls during an economic expansion.

• Frictional Unemployment
• Structural Unemployment
• Cyclical Unemployment
• Seasonal Unemployment

Which policy is most likely to reduce cyclical unemployment?

• Vocational training programs
• Increasing interest rates
• Expansionary fiscal policy
• Implementing minimum wage laws

What is the definition of unemployment?

• People who are employed part-time.
• People who are actively looking for a job but can't find one.
• People who are not working and not looking for a job.
• People who are working less than they would like to.

Which type of unemployment occurs when individuals are temporarily between jobs and actively seeking new employment?

• Frictional unemployment
• Cyclical unemployment
• Seasonal unemployment
• Classical unemployment

Due to the snows melting in Spring the ski industry is facing unemployment, what kind of unemployment is seen here?

• Cyclical
• Structural
• Seasonal
• Classical

What does the term "natural rate of unemployment" refer to?

• The rate of unemployment when the economy is at full employment
• The rate of unemployment during a recession
• The rate of unemployment caused by structural factors
• The rate of unemployment during an economic expansion

Who does real unemployment include?

• includes underemployed, marginally attached, and discouraged workers.
• Students
• İncludes everybody in labor force
• Alcoholics

How does long-term unemployment impact a country's GDP per capita?

• Increases
• Decreases
• Stays the same
• Has no effect