Questions from General Economics

Q: Consider an economy with two labor markets—one for manufacturing workers

Consider an economy with two labor markets—one for manufacturing workers and one for service workers. Suppose initially that neither is unionized. a. If manufacturing workers formed a union, what impa...

Q: Structural unemployment is sometimes said to result from a mismatch between the

Structural unemployment is sometimes said to result from a mismatch between the job skills that employers want and the job skills that workers have. To explore this idea, consider an economy with two...

Q: Consider two communities. In one community, ten families have incomes

Consider two communities. In one community, ten families have incomes of $100,000 each and ten families have incomes of $20,000 each. In the other community, ten families have incomes of $200,000 each...

Q: Suppose that Congress passes a law requiring employers to provide employees some

Suppose that Congress passes a law requiring employers to provide employees some benefit (such as healthcare) that raises the cost of an employee by $4 per hour. a. What effect does this employer mand...

Q: The Bureau of Labor Statistics announced that in January 2013, of

The Bureau of Labor Statistics announced that in January 2013, of all adult Americans, 143,322,000 were employed, 12,332,000 were unemployed, and 89,008,000 were not in the labor force. Use this infor...

Q: Between January 2010 and January 2013, U.S. employment

Between January 2010 and January 2013, U.S. employment increased by 4.9 million workers, but the number of unemployed workers declined by only 2.7 million. How are these numbers consistent with each o...

Q: Economists use labor-market data to evaluate how well an economy

Economists use labor-market data to evaluate how well an economy is using its most valuable resource— its people. Two closely watched statistics are the unemployment rate and the employment–population...

Q: Are the following workers more likely to experience short-term or

Are the following workers more likely to experience short-term or long-term unemployment? Explain. a. a construction worker laid off because of bad weather b. a manufacturing worker who loses his job...

Q: Why is frictional unemployment inevitable? How might the government reduce the

Why is frictional unemployment inevitable? How might the government reduce the amount of frictional unemployment?

Q: How do unions affect the natural rate of unemployment?

How do unions affect the natural rate of unemployment?