Votamatic: Surveys

In 2000, the number of unemployed individuals was 100, and the number of employed individuals was 900. In 2008, the number of unemployed individuals was 200 and the number of employed individuals was 1900. Which of the following is correct ?

Between 2000 and 2008 while the labor force increased, the unemployment rate fell.The labor force and the unemployment rate increased between 2000 and 2008.We do not know what happened with the unemployment rate because we have no information regarding the evolution of the labor force between 2000 and 2008.If the number of unemployed individuals doubled, the unemployment rate increased.

Which of the following scenarios best illustrates a case of cyclical unemployment?

During a recession, a significant number of retail employees are laid off due to a reduction in consumer spending.A new technology makes a specific type of skill obsolete, resulting in long-term unemployment for workers with that skill.An increase in the minimum wage leads to some businesses reducing their workforce to cut costs.A large company automates its manufacturing process, leading to the layoff of a massif number of assembly line workers.

Which of the following phenomena will lead to an increase in interest rates on the market for loanable funds?

An increase in the government’s budgetary deficit.The elimination of an investment subsidy, which is accompanied by policies that encourage savings.A decrease in general prices.A change in taxes which encourages private savings.

Consider the following production function : Y = A· F(L,K,H,N) with A being technological knowledge, L labor, K physical capital, H human capital and N natural resource endowments. Let’s assume that the production function exhibits constant returns to scale, and declining marginal factor productivity. Which of the following is correct ?

If we double natural resource endowments, production will also double.If we double the number of workers and physical capital, production will also double.If we double the number of workers, labor productivity will increase.If we double the amount of human capital, labor productivity will increase.

Votamatic

Exam questions - Chapters 3 and 4