When You Include Discouraged Workers and Unemployed Workers in Calculations

question 130

Multiple Choice

When you include discouraged workers and unemployed workers in calculations of the unemployment rate

• A) the difference between this alternate measure and the official unemployment rate increases significantly during recessions.
• B) the difference between this alternate measure and the official unemployment rate increases significantly during economic expansions.
• C) this alternate measure is much lower than the official unemployment rate.
• D) this alternate measure is the same as the official unemployment rate.
• E) this alternate measure is not useful in studying the macroeconomy.

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Definitions:

Technology

The application of scientific knowledge for practical purposes, especially in industry.

Production Methods

Various techniques and processes used in the creation of goods and services, ranging from manual labor to advanced manufacturing technologies.

Standard Cost Systems

Accounting systems that use standards for each element of manufacturing cost entering into the finished product.

Product Costs

The total of direct materials, direct labor, and manufacturing overhead allotted to a product, representing the cost to produce goods.