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(I)Changes in the Age Composition of the Labor Force Will

question 15

Multiple Choice

(I) Changes in the age composition of the labor force will affect the natural rate of unemployment (for example,an increase in the relative number of youthful workers) .
(II) Institutional changes such as an increase in the minimum wage may increase cyclical unemployment but will not affect the natural rate of unemployment.

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Definitions:

Capital Gain Yield

The price appreciation component of the total return on an investment, calculated as the change in the price of the investment over a period of time.

Total Return

Represents the full return on an investment over a given time period, including capital gains, dividends, and interest.

Income Yield

The income returned on an investment, usually expressed as a percentage of the amount invested.

Cumulative Gain

The total amount of profit gained over a period of time from an investment or series of investments.

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