unemployment Flashcards
(30 cards)
What is the definition of unemployment?
Unemployment refers to the situation where individuals who are capable of working are unable to find a job.
True or False: Unemployment includes individuals who are not actively seeking work.
False
What is the unemployment rate?
The unemployment rate is the percentage of the labor force that is unemployed.
Fill in the blank: The _____ type of unemployment occurs due to economic downturns.
cyclical
What is structural unemployment?
Structural unemployment occurs when there is a mismatch between the skills of the workforce and the skills needed for available jobs.
Which type of unemployment is temporary and occurs when people are between jobs?
frictional unemployment
True or False: Seasonal unemployment is a type of cyclical unemployment.
False
What is the formula to calculate the unemployment rate?
Unemployment Rate = (Number of Unemployed / Labor Force) x 100
Fill in the blank: The _____ is the total number of people who are employed and unemployed.
labor force
What is underemployment?
Underemployment refers to a situation where individuals are working in jobs that do not utilize their skills or are working part-time when they desire full-time work.
Which agency typically measures unemployment rates in the United States?
The Bureau of Labor Statistics (BLS)
True or False: Discouraged workers are included in the unemployment rate.
False
What is the difference between the labor force participation rate and the unemployment rate?
The labor force participation rate measures the active portion of the working-age population, while the unemployment rate measures those actively seeking work.
What does NAIRU stand for?
Non-Accelerating Inflation Rate of Unemployment
Fill in the blank: Economic policies aimed at reducing _____ can include job training and education programs.
unemployment
What is cyclical unemployment primarily caused by?
Cyclical unemployment is primarily caused by a decline in economic activity or recession.
Which demographic group typically experiences higher unemployment rates?
Young adults or teenagers
True or False: A high unemployment rate is always a sign of a poor economy.
True
What type of unemployment is caused by technological advancements?
structural unemployment
Fill in the blank: The _____ unemployment rate includes discouraged workers who have stopped looking for work.
U-6
What is a common consequence of high unemployment rates?
Increased poverty and reduced consumer spending
What is the impact of unemployment on mental health?
Unemployment can lead to increased stress, anxiety, and depression.
Fill in the blank: _____ policies are designed to stimulate job creation and reduce unemployment.
Fiscal
What is the significance of the natural rate of unemployment?
It represents the level of unemployment that exists when the economy is healthy and growing.
