Labor Market and Unemployment

What is the unemployment rate?

• The percentage of people who are retired

• The percentage of people who are employed

• The percentage of people in the labor force who can't find a job

• The percentage of people who are discouraged

Who is not considered part of the labor force?

• People actively looking for work

• People who are retired

• People employed full-time

• People over 16 years old

What is considered a low or healthy unemployment rate?

• 1%-2%

• 3%-6%

• 7%-10%

• 11%-15%

What occurs when the supply of jobs is low?

• People find jobs easily

• People have difficulty finding work

• Wages increase

• Economy strengthens

What are two things that occur when there is a low unemployment rate?

• Fewer jobs and lower wages

• More jobs and better wages

• Weak economy and fewer jobs

• Strong economy and lower wages

What is frictional unemployment?

• Unemployment due to economic downturns

• Unemployment due to people changing jobs

• Unemployment due to technological changes

• Unemployment due to seasonal job demand

What is structural unemployment?

• Unemployment due to economic downturns

• Unemployment due to people changing jobs

• Unemployment due to lack of skills or education

• Unemployment due to seasonal job demand

When the economy is growing, what is there a need for?

• More workers

• Fewer workers

• More technology

• Less technology

Jackson is planning his summer job options. What are three examples of jobs that can be classified as seasonal?

• Teaching, engineering, retail

• Lifeguards, construction, landscaping

• Banking, IT, healthcare

• Law, marketing, journalism

What is cyclical unemployment?

• Unemployment due to people changing jobs

• Unemployment due to economic downturns

• Unemployment due to seasonal job demand

• Unemployment due to lack of skills or education