If the natural unemployment rate is 5 percent and the current unemployment rate is 6 percent, then the economy is
A) producing a level of Real GDP that is greater than the level of natural Real GDP.
B) in an inflationary gap.
C) producing a level of Real GDP that is less than the level of natural Real GDP.
D) a and b
E) b and c
C
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A job advertised in an industry publication rather than a local newspaper is an attempt to
A) use access to the industry publication as a screening mechanism. B) use access to the newspaper as a screening mechanism. C) use access to the industry publication as a means of statistical discrimination. D) use access to the newspaper as a means of statistical discrimination.
Economic models do not reflect the full complexity of reality and instead are based on:
A. the fallacy of composition. B. value judgments. C. purposeful simplifications. D. trade-offs.
Which of the following has been the largest organized group of U.S. unions during the past 50 years?
A) AFL-CIO B) AFL C) CIO D) Change to Win
In 2011, Red Robin announced that it would open 12 fast-casual restaurants, and in 2016 the company decided to abandon the fast-casual restaurant business. Which of the following reasons relating to the characteristics of monopolistic competition did the
company give for getting out of the fast-casual restaurant business? A) Barriers to entry were too high. B) The restaurants were not differentiated enough from their full-service restaurants. C) There were very few buyers and sellers in the market. D) Standardized pricing in the industry gave them no potential to earn a profit.