Student Name: ________________________

ASSIGNMENT 6
PART 1: Types of Unemployment

For each of the following situations, put the appropriate letter before the example.

F if it is Frictional Unemployment.

S if it is Structural Unemployment.

C if it is Cyclical Unemployment.

SE if it is Seasonal Unemployment.

NC if it is not counted in unemployment

____1. A computer programmer is laid off because of a recession.

____2. A construction worker has to find another job during the winter months from December to March.

____3. A magazine editor leaves his job in New York to look for a new job in San Francisco.

____4. An unemployed college graduate is looking for his first job.

____5. Advances in technology make the assembly-line worker’s job obsolete.

____6. Slumping sales lead to the cashier being laid off.

____7. A bank teller loses her job because she is replaced by an ATM machine.

____8. A high school student gets laid off from a lifeguard job at the end of the summer.

____9. Workers are laid off at a local manufacturing plant when the economy goes bad.

____10. A skilled glass blower becomes unemployed when a new machine does the job faster.

____ 11. A 15-year-old cannot find a job after looking for 3 months.

____ 12. The football coach is fired after having a losing season.

PART 2

Which of the following would NOT be counted in GDP? And WHY? e.g. No US goods produced in other
countries.

a. Household production (stuff made at home)

b. Does not count transfer payments from the government (Social Security and Welfare)

c. Does not count the old goods (they have already been counted in the year they were produced and sold)

d. Depreciation of old goods (does not calculate losses due to goods becoming old and worn down)

e. No double counting of goods: such as used goods and intermediate goods (goods used in production
process)