Author Question: Louise is unemployed due to a decrease in the demand for workers with a knowledge of a certain word ... (Read 61 times)

mp14 · **on:** Jun 30, 2018

Louise is unemployed due to a decrease in the demand for workers with a knowledge of a certain word processing language. This is an example of:
a. cyclical unemployment.
b. frictional unemployment.
c. involuntary unemployment.
d. structural unemployment.

Question 2

If the marginal propensity to consume (MPC) is 0.75, a 50 decrease in government spending, other things being equal, would cause equilibrium real GDP to:
a. increase by 50.
b. decrease by 50.
c. increase by 200.
d. decrease by 200.