Problems with Interpreting the Unemployment Rate as a Measure of Labour

question 34

Multiple Choice

Problems with interpreting the unemployment rate as a measure of labour market tightness include

• A) biases in the CPI and dissatisfied workers.
• B) dissatisfied workers and discouraged workers.
• C) discouraged workers and variations in how intensively the unemployed search for work.
• D) variations in how intensively the unemployed search for work and biases in the CPI.
• E) the rental vacancy rate.

---

Definitions:

Capillaries

The smallest blood vessels in the body, responsible for the exchange of various substances between the blood and surrounding tissues.

Gases

States of matter consisting of particles that have neither a defined volume nor shape, expanding to fill their container.

Exhalation

The process of releasing air from the lungs through the respiratory tract; a key part of the breathing cycle in aerobic respiration.

Bronchi

The main passageways directly attached to the lungs that allow the passage of air in and out of the lungs.