What Factors Make It Difficult to Determine the Unemployment Rate?

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Why is unemployment an economic problem?

 

Part 1: The Unemployment Rate

Complete the following exercise

Write a report  to answer the questions:

1. What month (and year) is summarised? What was the unemployment rate for that month? How does that rate compare with the rate in the previous month?

2. What were the unemployment rates for adult women, teenagers, blacks, Hispanics, and whites? How did these rates compare with those a month earlier?

3. What factors make it difficult to determine the unemployment rate?

4. Why is unemployment an economic problem?

5. What are the noneconomic effects of unemployment?

6. Who loses from unemployment?

 

Part 2: The Inflation Rate

Complete the following exercise:

Write a report  to answer the questions:

1. What month (and year) is summarised? What was CPI-U for that month?

2.  What was the rate of inflation (percentage change in the CPI-U) for the month? How does that rate of inflation compare with the rate in the previous month?

3. Which two categories of goods or services had the greatest price increase for the month?

4. Which two categories of goods or services had the lowest price increase (or greatest price decrease) for the month?

5. Who loses from inflation?
 
 

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