Economics Mcqs
Sector shifts tend to raise which type of unemployment ?

A. Structural unemployment
B. Unemployment due to efficiency wages
C. Unemployment due to unions
D. Frictional unemployment

Some frictional Unemployment is inevitable because ?

A. Of minimum wage laws
B. There are changes in the demand for labour among different firms.
C. Of unions
D. All of these answers

Which of the following statements about efficiency wage theory is true ?

A. Paying above the competitive equilibrium wage tends to cause workers to shirk their responsibilities
B. Firms do not have a choice about whether they pay efficiency wages or not because these wages are determined by law
C. Paying the lowest possible wage is always the most efficient (profitable)
D. Paying above the competitive equilibrium wage may improve worker health lower worker turnover improve worker quality and increase worker effort

Which of the following types of unemployment will exist even if the wage is at the competitive equilibrium ?

A. Unemployment due to unions
B. Unemployment due to efficiency wages
C. Frictional unemployment
D. Unemployment due to minimum-wage laws

The amount of unemployment that the economy normally experiences is known as ?

A. The natural rate of unemployment
B. Cyclical unemployment
C. Efficiency wage unemployment
D. Frictional unemployment

Refer to Figure 1 The labour fouce is ?

A. 134.0 million
B. None of theses answers
C. 92.3 million
D. 98.0 million

Refer to Figure 1. The labour force participation rate is ?

A. 47.1 percent
B. 65.9 percent
C. 50.2 percent
D. 70.2 percent

A miner who has been unable to find work for so long that he has stopped looking for work is considered to be ?

A. Not in the labour force
B. Not in the adult population
C. Unemployed
D. Employed

Which one of the following types of Unemployment results from the wage being held above the competitive equilibrium wage ?

A. Structural unemployment
B. Cyclical unemployment
C. Frictional unemployment
D. None of these answers

A reservation wage is the ?

A. Maximum wage the firm is willing to pay
B. Tip necessary to get a waiter to reserve a table
C. Minimum wage the worker is willing to accept
D. Competitive equilibrium wage.