Table 28-5
Labor Force Statistics by Age
Suppose people in the adult population in a small country are classified based on their age.
-Refer to Table 28-5. Suppose that the natural rate of unemployment is 5% for those under 55 and 3% for those 55 and older. The cyclical unemployment rate for those under 55 is
A)0.88% which is greater than the cyclical unemployment rate for those 55 and older.
B)0.88% which is less than the cyclical unemployment rate for those 55 and older.
C)-0.83% which is greater than the cyclical unemployment rate for those 55 and older.
D)-0.83% which is less than the cyclical unemployment rate for those 55 and older.

Question

Table 28-5
Labor Force Statistics by Age
Suppose people in the adult population in a small country are classified based on their age. 
-Refer to Table 28-5. Suppose that the natural rate of unemployment is 5% for those under 55 and 3% for those 55 and older. The cyclical unemployment rate for those under 55 is
A)0.88% which is greater than the cyclical unemployment rate for those 55 and older. 
B)0.88% which is less than the cyclical unemployment rate for those 55 and older. 
C)-0.83% which is greater than the cyclical unemployment rate for those 55 and older. 
D)-0.83% which is less than the cyclical unemployment rate for those 55 and older.

Quizplus · Accepted Answer

The Answer of Table 28-5
Labor Force Statistics by Age
Suppose people in the adult population in a small country are classified based on their age. 
-Refer to Table 28-5. Suppose that the natural rate of unemployment is 5% for those under 55 and 3% for those 55 and older. The cyclical unemployment rate for those under 55 is
A)0.88% which is greater than the cyclical unemployment rate for those 55 and older. 
B)0.88% which is less than the cyclical unemployment rate for those 55 and older. 
C)-0.83% which is greater than the cyclical unemployment rate for those 55 and older. 
D)-0.83% which is less than the cyclical unemployment rate for those 55 and older.

Table 28-5 Labor Force Statistics by Age