Lernkarten

Marco Wernli
Karten 42 Karten
Lernende 0 Lernende
Sprache English
Stufe Universität
Erstellt / Aktualisiert 04.10.2020 / 04.10.2020
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0 Exakte Antworten 39 Text Antworten 3 Multiple Choice Antworten
Fenster schliessen

Explain the terms emplyoment and unemlployment

Employment is the number of people currently employed in the economy, either full time or part time. On the other hand, unemployment is defined as the total number of people who are actively looking for work but aren’t currently employed. That means, just because a person isn’t working doesn’t mean that we consider that person unemployed

Fenster schliessen

Explain the term labor force and the labor force participation rate

Lizenzierung: Keine Angabe

A country’s labor force is the sum of employment and unemployment, whereas the labor force participation rate is the percentage of the  population aged 16 or older that is in the labor force (either employed or unemployed).

Fenster schliessen

Explain the term unemployment rate

Lizenzierung: Keine Angabe

The unemployment rate is the percentage of the total number of people in the labor force who are unemployed.

Fenster schliessen

Explain why it is impossible, that the unemployment rate falls to zero.

If you are searching for work, it’s normal to take at least a few weeks to find a suitable job. Yet a worker who is quite confident of finding a job, but has not yet accepted a position, is counted as unemployed. As a consequence, the unemployment rate never falls to zero, even in boom times when jobs are plentiful.

Fenster schliessen

Explain the term discourage workers

Discouraged workers are nonworking people who are capable of working but have given up looking for a job given the state of the job market (e.g. no suitable jobs are currently available). They don't get counted as unemployed!

Fenster schliessen

Explain the term marginally attached workers

Marginally attached workers would like to be employed and have looked for a  job in the recent past but are not currently looking for work. Discouraged workers are part of this group. They don't get counted as unemployed!

Fenster schliessen

Explain the term underenmployed workers

Workers who would like to find full-time jobs buta re currently working part time because they can't find a suitable job.  They don't get counted as unemployed!

Fenster schliessen

The unemployment number usually quoted in the news media counts someone as unemployed only if he or she has been looking for work during the past __________.

week

two weeks

three weeks

four weeks

five weeks

Fenster schliessen

The unemployment rate is an indicator of

overall labor market conditions

an exact, literal measure of the percentage of people unable to find jobs

Fenster schliessen

During periods of economic expansion the unemployment rate usually 

falls

rises

Fenster schliessen

A period in which real GDP is growoing at a bleow-average rate and unemployment is rising is called a __________ or a __________.

jobless recovery or a growth recession

Fenster schliessen

Explain the term job separation

terermination of employment that occurs because a worker is either fired or quits voluntarily.

Fenster schliessen

Explain the term frictional unemployment

Frictional unemployment is unemployment due to the time workers spend in job search. It's basically the time between two jobs, when while the workers is not employed. A certain amount of frictional unemployment is inevitable due to the constant process of economic change.

Fenster schliessen

Why coult a certain amount of frictional employment be a good thing in the economy?

Because the economy is more productive if workers take the time to find jobs that are well matched to their skills, and workers who are unemployed for a brief period while searching for the right job don’t experience great hardship.

Fenster schliessen

Explain the term structural unemployment

Lizenzierung: Keine Angabe

Structural unemployment is unemployment that results when there are more people seeking jobs in a particular labor market than there are jobs available at the current wage rate.

Fenster schliessen

Explain the term collective bargaining

Collective bargaining is a process of negotiation between epmployer and labor unions. Labor unions exercise bargaining power by threatening firms with a labor strike, a collective refusal of work. Unions also bargain over benefits, such as health care and pensions, which we can think of as additional wage.

Fenster schliessen

Explain the term lockout

lockouts are periods in which union workers are locked out and rendered unemployed 

Fenster schliessen

Explain the term efficiency wages

Wages that employers set above the equilibrium wage rate as an incentive for their workers to perform better

Fenster schliessen

What is the natrual rate of unemployment?

The natural rate of unemployment is the normal unemployment rate around which the actual unemployment rate fluctuates. It is the rate of unemployment that arises from the effects of frictional plus structural unemployment. Important to know is, that the natural rate of unemployment changes over time, and that it can be affected by government policies.

Natural Unemployment = Frictional Unemployment + Structural Unemployment

Fenster schliessen

What is the cyclical unemployment?

Cyclical unemployment is the deviation of the actual rate of unemployment from the natural rate; that is, it is the difference between the actual and natural rates of unemployment.

Actual Unemployment = Natural Unemployment + Cyclical Unemployment

Fenster schliessen

Explain the term real wage

A worker's real wage is the wage rate divided by the prce level. The inflation has no effect on the real wage!

Fenster schliessen

Explain the term real income

Real incomes are incomes divided by the price level. The inflation has no effect on the real income!

Fenster schliessen

How do you calculate the inflation rate?

Lizenzierung: Keine Angabe

inflation rate: the percent increase in the overall level of prices per year.

Fenster schliessen

Explain the term deflation.

The phenomenon where the inflation rate is negative is called deflation

Fenster schliessen

Explain the term shoe-leather costs

Increased costs of transactions caused by inflation are known as shoe-leather costs, an allusion to the wear and tear caused by the extra running around that takes place when people are trying to avoid holding money.

However, compared to other inflation caused cost-factors, the shoe-leather costs are quite small.

Fenster schliessen

Explain the term Menu Cost

In a modern economy, most of the things we buy have a listed price. Changing a listed price has a real cost, called a menu cost.

Fenster schliessen

Explain the term unit-of-account costs

The unit-of-account costs of inflation are the costs arising from the way inflation makes money a less reliable unit of measurement.

Fenster schliessen

Explain the terms nominal interest rate and real interest rate.

The nominal interest rate is the interest rate in dollar terms – for example, the interest rate on a student loan. The real interest rate is the nominal interest rate minus the rate of inflation.

Fenster schliessen

Explain the term disinflation

The process of bringing the  inflation rate down is called disinflation. This process is very costly!

Fenster schliessen
Lizenzierung: Keine Angabe
Lizenzierung: Keine Angabe