When an economy experiences semihidden unemployment,

Macroeconomics: Private and Public Choice (MindTap Course List)
16th Edition
ISBN:9781305506756
Author:James D. Gwartney, Richard L. Stroup, Russell S. Sobel, David A. Macpherson
Publisher:James D. Gwartney, Richard L. Stroup, Russell S. Sobel, David A. Macpherson
Chapter8: Economic Fluctuations, Unemployment, And Inflation
Section: Chapter Questions
Problem 5CQ
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Q16

Question 16
When an economy experiences semihidden unemployment,
O its labor force increases, but the level of employment remains unchanged.
the true rate of unemployment may exceed the official rate.
O the true rate of unemployment may be less than the official rate.
O the labor force may shrink and the unemployment rate may increase.
Transcribed Image Text:Question 16 When an economy experiences semihidden unemployment, O its labor force increases, but the level of employment remains unchanged. the true rate of unemployment may exceed the official rate. O the true rate of unemployment may be less than the official rate. O the labor force may shrink and the unemployment rate may increase.
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