EC201 chapter_7_Quiz Full

A 1515 b 2530 c 3040 d 3025 answer d diff1 topic

Info iconThis preview shows page 1. Sign up to view the full content.

View Full Document Right Arrow Icon
This is the end of the preview. Sign up to access the rest of the document.

Unformatted text preview: the housing market is in a slump. As a result of this, a real estate firm lays off half of economy its real estate agents. This is an example of A) frictional unemployment. B) structural unemployment. C) cyclical unemployment. D) natural unemployment. Answer: C Diff: 1 Topic: Unemployment Skill: Conceptual AACSB: Reflective Thinking 63) During recession of the early 1980s, cyclical unemployment increased as the recession continued. This increase the severe in cyclical unemployment would have A) increased the natural rate of unemployment. B) decreased the natural rate of unemployment. C) had no effect on the natural rate of unemployment. D) caused structural unemployment to decrease. Answer: C Diff: 2 Topic: Unemployment Skill: Conceptual AACSB: Reflective Thinking 64) During Depression, real output fell by approximately ________ and the unemployment rate rose to about the Great ________. A) 15%; 15% B) 25%; 30% C) 30%; 40% D) 30%; 25% Answer: D Diff: 1 Topic: Unemployment Skill: Fact 65) Recession s today may cause lost output in the future because during a recession A) consumption tends to fall. B) investment tends to fall. C) imports tend to fall. D) government spending tends to incr...
View Full Document

Ask a homework question - tutors are online