1) The Keynesian remedy for unemployment is to ? a. decrease aggregate demand b. reduce tax rates or lower interest rates c. decrease government spending d. decrease private consumption and investment
|
||||
2) Which of the following is not TRUE about rural urban migration ? a. Migration to the cities is a larger contributor than natural population growth to urban labor growth is sub Saharan Africa b. In Latin America natural population increase is the major source of urban growth c. From 1975 to 2000 the number of cities in LDC with populations over 1 million increased from 20 to 50 d. The urban share of total LDC population grew from 27 percent in 1975 and 35 percent in 1992 to 40 percent in 2003
|
||||
3) The theoretical basis for zero marginal productivity of labor was the concept of ? a. marginal rate of substitution b. labor force literacy c. substitution of leisure and work among labor d. limited technical sustainability of factors
|
||||
4) The invisibly underemployed ? a. are workers who are compelled to work short hours b. result from an inadequate use of workers capacities c. are part-time workers who voluntarily work short hours d. None of the above is correct
|
||||
5) Which of the following is not TRUE about unemployed in LDCs ? a. The unemployment rate for youths is twice that of people over 24 b. Unemployment in rural areas is twice that of urban areas c. World-wide there are fewer unemployed females than males, but the rate is higher for women d. The unemployed are relatively well educated
|
||||
6) The openly unemployed in LDCs are usually from all of the following except ? a. persons 15 to 24 years old b. the educated c. residents of urban areas d. from the poorest 1/5 of the population
|
||||
7) Which of the following is not capita good ? a. plant and equipment b. buildings c. inventories d. consumers goods
|
||||
8) Entrepreneurship is the ? a. technique to manage raw materials efficiently b. residual of a production function c. resource coordinating other productive resources d. blueprint on how to manage the labor force
|
||||
9) Based on Nafziger and Auvinen’s study high unemployment rates ?
I- represent a vast underutilization of human resources II- are potential source of social unrest and political discontent III- are uncomerated with poverty and inequality in LCDs IV- are associated with middle age rural uneducated males a. I and II only b. III and IV only c. I, II and III only d. I, II and IV only
|
||||
10) Policies to reduce factor price distortion include?
I- Encouraging small-scale industry II- Decreasing subsidies to capital investors III- Reducing social security programs and payroll taxation IV- Setting market-clearing exchange rates a. I and II only b. II and III only c. I, II and III only d. I, II, III and IV
|
||||
11) The simplest explanation based on Lewis’s model for rural-urban migration is ? a. That people migrate when urban wages exceed rural wages b. a higher expected income in urban areas c. better infrastructure in urban areas d. the availability of labor-intensive jobs in urban areas
|
||||
12) According to Harris and Todaro, creating urban jobs by expanding industrial output ? a. is insufficient for solving the urban unemployment problem b. will generate capital-intensive technologies c. will generate more government revenue through urban wages d. induces government to increase minimum wages
|
||||
13) Disguised unemployed is? a. when marginal revenue productivity of labor is zero b. the same as seasonal unemployment of LDC agricultural c. the rigid factor proportions in LDC agriculture and industry d. due to capital formation and the level of technology remaining constant.
|
||||
14) During the Great Depression workers in DCs who took inferior jobs as a result of being laid off were known as ? a. disguised unemployed b. cyclical unemployed c. seasonally unemployed d. voluntarily unemployed
|
||||
15) The unemployment rate is the ? a. employed plus unemployed divided by labor force b. total employment divided by population c. labor force divided by population d. unemployed divided by employed
|
||||
16) Labor skills are a major component of ? a. fertility b. population quality c. mortality d. morbidity
|
||||
17) In a production function Y = F(L, K,N,E,T) Y is ? a. national product b. capital c. natural resources d. prevailing technology
|
||||
18) A production function ? a. shows the dependency output of the working population b. depicts the relationship between input and output c. states the relationship between products and income distribution d. is a function of natural resources in a country
|