# Chapter 8: Questions 5, 9, 15

Chapter 8: Questions 5, 9, 15

5.  Is the natural rate of unemployment
fixed?  Why or why not?  How are full employment and the natural rate
of unemployment related? Is the actual rate of unemployment currently greater
or less than the natural rate of unemployment? Why?

9.  What impact will high and variable rates of inflation
have on the economy? How will they influence the risk accompanying long-term

15.  The following Table B presents the 2010
population, employment, and unemployment data among working age persons for
several countries.

a. Calculate
the number of people in the labor force for each country.

b. Calculate
the labor force participation rate for each country, and put the figures in the
blanks provided. Which country had the highest labor force participation rate?

c. Calculate
the unemployment rate for each country, and put the figures in the blanks
lowest?

Country  Population   Number
Employed Number
Rate
of Labor Force    Rate of Unemployment    (In
Millions)  (In Millions)    Unemployed    Participation (percentage) (Percentage)

 United States 237.8 139.1 14.8 Canada 27.3 17 1.3 Japan 110.3 62 3.1 Germany 70.9 38.2 3 France 49.7 25.4 2.6 Australia 17.9 11.2 0.6 Italy 51.3 22.6 2.1