Chapter 8: Q 34 (page 215)
Is the higher unemployment rates for minority workers necessarily an indication of discrimination? What could be some other reasons for the higher unemployment rate?
Short Answer
No it is not necessary
Chapter 8: Q 34 (page 215)
Is the higher unemployment rates for minority workers necessarily an indication of discrimination? What could be some other reasons for the higher unemployment rate?
No it is not necessary
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Get started for freeWhat are some of the problems with using the unemployment rate as an accurate measure of overall joblessness?
Many college students graduate from college before they have found a job. When graduates begin to look for a
job, they are counted as what category of unemployed?
The U.S. unemployment rate increased from 4.6%
in July 2001 to 5.9% by June 2002. Without studying the subject in any detail, would you expect that a change of this kind is more likely to be due to cyclical unemployment or a change in the natural rate of unemployment? Why?
Why do you think that unemployment rates are lower for individuals with more education?
While unemployment is highly negatively
correlated with the level of economic activity, in the real world it responds with a lag. In other words, firms do not immediately lay off workers in response to a sales decline. They wait a while before responding. Similarly, firms do not immediately hire workers when sales pick
up. What do you think accounts for the lag in response time?
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