EBK ECONOMICS TODAY
EBK ECONOMICS TODAY
18th Edition
ISBN: 9780133920116
Author: Miller
Publisher: YUZU
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Chapter 7, Problem bFCT
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The reason for which a person staying unemployed for a long time find it difficult to secure a job compared to a person who is unemployed for a few weeks.

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Between January 2010 and January 2016, U.S. employment increased by 12.1 million workers, but the number of unemployed workers declined by only 7.3 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?
Suppose there are 180 million employed people and 20 million unemployed people.  a) What is the unemployment rate?  b) Suppose that 5 million unemployed people give up their search for jobs and become  discouraged workers. What is the new official unemployment rate?
Suppose the number of employed people in Pakistan is 20.5 million. The unemployment rate in this economy is 8.8 percent, and the labor force participation rate is 65 percent. What is the size of the labor force and working-age population? How many people are unemployed?   Explain and analyze different government policies which affect the unemployment rate in Pakistan? ( Maximum 200 words).   Before June 2020, the labor market in Pakistan was at equilibrium with an equilibrium wage (WE) of Rs. 15,000 and equilibrium quantity of labor (LE) 10 million. In the last week of June, 2020, government of Pakistan imposed a minimum wage Act raising the minimum wage to Rs. 20,000. Using a graph, explain the effect of imposition of minimum wage on unemployment in labor market of Pakistan .
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