Exam 3 Chapter 7 and 8

Question 1

Which type of unemployment arises from a mismatch between workforce skills and employer demands?

Accepted Answer

Structural Unemployment

Question 2

Howdoes an increase in the quantity and quality of physicalcapital used in productionaffect unemployment in the longrun?

Accepted Answer

It decreases unemployment

Question 3

What term describes advancements that increase output or reduce labor needed?

Accepted Answer

Technological Change

Question 4

What is the term for the % of the civilian non-institutionalized adult population that is either employed or unemployed?

Accepted Answer

Labor Force Participation Rate

Question 5

What concept involves the specialization of workers in particular tasks, leading to increased efficiencyandproductivity?

Accepted Answer

Labor Division

Question 6

What term describes the raw materials and resources provided by nature that are used to produce goods and services?

Accepted Answer

Natural Resources

Question 7

What term refers to the amount of output produced per unit of labor input?

Accepted Answer

Labor Productivity

Question 8

Which term describes the knowledge, skills, and abilities possessed by the workforce?

Accepted Answer

Human Capital

Question 9

Poorer economies grow faster than richer ones, eventually catching up in terms of average income levels

Accepted Answer

Economic Convergence

Question 10

What does the unemployment rate measure?

Accepted Answer

Share of the labor force that is unemployed and actively seeking work

Question 11

What causes shifts in aggregate demand?

Accepted Answer

Consumer spending investment government spending exports

Question 12

What branch of economics studies the entire economy, including inflation, unemployment, and economic growth?

Accepted Answer

Macroeconomics

Question 13

What factor of economic growth involves the development of new technologies or improvements to existing ones?

Accepted Answer

Technological Advancemen

Question 14

Whats the theory that suggests poorer economies wil eventually catch up to richer ones in terms of average incomelevels?

Accepted Answer

Convergence Hypothesis

Question 15

Which term refers to countries with high levels of economic development and living standards?

Accepted Answer

Developed Countries

Question 16

During which economic period might sticky wages and prices play a significant role?

Accepted Answer

Short-run

Question 17

What is the lowest unemployment rate that can be sustained in the long run without causing inflation to accelerate?

Accepted Answer

Natural Rate of Unemployment

Question 18

Which term refers to the resources used to produce goods and services including land labor capital and entrepreneurship?

Accepted Answer

Production Factors

Question 19

What term describes those working part-time but desiring full-time employment or underutilized skills?

Accepted Answer

Underemployment

Question 20

What are the rules and regulations governing the labor market called?

Accepted Answer

Labor Market Institutions

Questions 20