Are the following workers more likely to experience short-term or long-term unemployment? Explain. a. a construction worker laid off because of bad weather b. a manufacturing worker who loses his job at a plant in an isolated area c. a stagecoach-industry worker laid off because of competition from railroads d. a short-order cook who loses his job when a new restaurant opens across the street e. an expert welder with little formal education who loses his job when the company installs automatic welding machinery

Are the following workers more likely to experience short-term unemployment or long-term unemployment? Explain.

a short-order cook who loses his job when a new restaurant opens across the street

Are the following workers more likely to experience short-term unemployment or long-term unemployment? Explain.

a stagecoach-industry worker who is laid off because of competition from railroads

Economists use labor-market data to evaluate how well an economy is using its most valuable resource its people. Two closely watched statistics are the unemployment rate and the employment–population ratio (calculated as the percentage of the adult population that is employed). Explain what happens to each of these in the following scenarios. In your opinion, which statistic is the more meaningful gauge of how well the economy is doing? a. An auto company goes bankrupt and lays off its workers, who immediately start looking for new jobs. b. After an unsuccessful search, some of the laid-off workers quit looking for new jobs. c. Numerous students graduate from college but cannot find work. d. Numerous students graduate from college and immediately begin new jobs. e. A stock market boom induces newly enriched 60-year-old workers to take early retirement. f. Advances in healthcare prolong the life of many retirees.

Are the following workers more likely to experience short-term unemployment or long-term unemployment? Explain.

a manufacturing worker who loses his job at a plant in an isolated area

Are the following workers more likely to experience short-term unemployment or long-term unemployment? Explain .

a manufacturing worker who loses his job at a plant in an isolated area

Who would be most critical of these statements about free trade agreements?

a. a U.S. factory worker whose job has been outsourced to a foreign country

b. a factory worker in a developing nation who now has a steady source of income

c. a politician who is reviewing data about increased U.S. profits

d. a U.S. factory worker whose job has been replaced by new technology

Are the following workers more likely to experience short-term unemployment or long-term unemployment? Explain.

an expert welder with little formal education who loses his job when the company installs automatic welding machinery

Bank A has a leverage ratio of 10, while Bank B has a leverage ratio of 20. Similar losses on bank loans at the two banks cause the value of their assets to fall by 7 percent. Which bank shows a larger change in bank capital? Does either bank remain solvent? Explain.

Are the following workers more likely to experience short-term unemployment or long-term unemployment? Explain.

an expert welder with little formal education who loses his job when the company installs automatic welding machinery

Suppose that Congress passes a law requiring employers to provide employees some benefit (such as healthcare) that raises the cost of an employee by $4 per hour. a. What effect does this employer mandate have on the demand for labor? (In answering this and the following questions, be quantitative when you can.) b. If employees place a value on this benefit exactly equal to its cost, what effect does this employer mandate have on the supply of labor? c. If the wage can freely adjust to balance supply and demand, how does this law affect the wage and the level of employment? Are employers better or worse off? Are employees better or worse off? d. Suppose that, before the mandate, the wage in this market was$3 above the minimum wage. In this case, how does the employer mandate affect the wage, the level of employment, and the level of unemployment? e. Now suppose that workers do not value the mandated benefit at all. How does this alternative assumption change your answers to parts (b) and (c)?

Determine whether the person would be considered $\bold{frictionally\ unemployed, seasonally\ unemployed, structurally\ unemployed}$, or $\bold{cyclically\ unemployed}$.

• a construction worker laid off during a recession

Between January $2012$ and January $2019$, U.S. employment increased by $17.3$ million workers, but the number of unemployed workers declined by only $6.3$ million. How are these numbers consistent with each other? Why might one expect a reduction in the number of people counted as unemployed to be smaller than the increase in the number of people employed ?

Economists use labor-market data to evaluate how well an economy is using its most valuable resource$-$its people. Two closely watched statistics are the unemployment rate and the employment-population ratio. Explain what happens to each of these in the following scenarios. In your opinion, which statistic is the more meaningful gauge of how well the economy is doing?

After an unsuccessful search, some of the laid-off workers quit looking for new jobs.