Exhibit 12-2 Unemployment categories
Category# ofIndividuals
Frictional unemployment  20
Structural unemployment  35
Cyclical unemployment  60
Discouraged workers    5
Underemployed workers  10
Fully employed workers410
Population900
The unemployment rate for the economy in Exhibit 12-2 is:

A. 12.8 percent.
B. 21.5 percent.
C. 22.2 percent.
D. 30.5 percent.

Answer: B

Economics

You might also like to view...

Let C = 80 + 0.6y and I = 40. The value of the MPS is

A) 0.24. B) 0.4. C) 0.48. D) 0.6.

Economics

Suppose that changes in the interest rate have absolutely no effect on the demand for money. The resulting ________ LM curve causes monetary policy to have ________ effect in changing income

A) horizontal, no B) horizontal, an unusually strong C) vertical, no D) vertical, an unusually strong

Economics