The unemployment rate equals the
A) number of employed persons divided by the number of unemployed persons.
B) number of unemployed persons divided by the civilian non-institutional population.
C) number of unemployed persons divided by the civilian labor force.
D) sum of unemployed persons and discouraged workers divided by the civilian labor force.
C
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In the face of gasoline prices approaching $4.00 automobile dealerships are heavily marketing their compact cars and hybrid vehicles
However, an interesting development is that many of these dealerships are offering their economy cars at MSRP (manufacturers suggested retail price) without offering discounts. What do you suppose these dealerships believe about the price elasticity of demand for these economy cars?
Which of the following may block the Keynesian transmission mechanism?
A) the loanable funds market B) aggregate demand C) interest-insensitive investment D) the liquidity trap E) c and d