Unemployment and Business Cycle Quiz

What are the four phases of the business cycle?

• Expansion, peak, contraction, trough

• Growth, decline, recession, recovery

• Boom, bust, recovery, growth

• Rise, fall, plateau, dip

Which type of unemployment results from technological changes?

• Structural

• Cyclical

• Frictional

• Seasonal

Which phase of the business cycle involves decreasing economic activity?

• Expansion

• Peak

• Contraction

• Trough

Which of the following is a requirement to be in the labor force?

• Being in school full time

• Being retired

• Being able and willing to work

• Being in the military

What is the employment status of a teacher that doesn’t work during the summer?

• Employed

• Unemployed

• Doesn’t Count (not in the labor force)

• Self-employed

What is seasonal unemployment?

• Unemployment due to economic downturns

• Unemployment that occurs at certain times of the year

• Unemployment caused by technological advancements

• Unemployment due to lack of education

How is seasonal unemployment related to frictional unemployment?

• It is a completely different type of unemployment

• It is a specific type of frictional unemployment

• It is unrelated to frictional unemployment

• It is the same as structural unemployment

Which of the following is NOT a type of unemployment?

• Structural unemployment

• Frictional unemployment

• Seasonal unemployment

• Permanent unemployment

Which of the following jobs is least likely to be affected by structural unemployment?

• Milkman

• Software engineer

• VCR repairman

• Typewriter technician

Why might restaurant owners lay off waiters during a recession?

• Due to increased demand

• Due to poor sales

• Due to new technology

• Due to seasonal changes