Chapter 14- Section 2 Flashcards Preview

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Flashcards in Chapter 14- Section 2 Deck (10):
0

People available for work who made a specific effort to find a job during the past month and two, during the most recent survey week, worked less than one hour for pay or profit

Unemployed

1

The number of unemployed individuals divided by the total number of persons in the civilian labor force

Unemployment rate

2

What are the limitations of the unemployment rate?

The unemployment rate does not count those who have become too frustrated or discouraged to look for work. Second, people are considered employed even when they hold part time jobs.

3

Workers who are between jobs for one reason or another

Frictional unemployment

4

Occurs when a fundamental change in operations of economy reduces the demand for workers and their skills

Structural unemployment

5

Unemployment directly related to swings in the business cycle

Cyclical unemployment

6

Changes in the weather or changes in the demand for certain products

Seasonal unemployment

7

When workers with less skills, talents, or education are replaced by machines and other equipment that do their jobs

Technological unemployment

8

How does automation affect unemployment rates?

A drastic reduction in the number of workers needed for production

9

What is full employment?

The lowest possible unemployment rate, with the economy growing and all factors of production being used as efficiently as possible