Unemployment 6831
63. Matilda just graduated from college. In order to devote all her efforts to college, she didn’t hold a
job. She is going to tour around the country on her motorcycle for a month before she starts
looking for work. Other things the same, the unemployment rate
a. increases, and the labor-force participation rate decreases.
b. and the labor-force participation rate both increase.
c. increases, and the labor-force participation rate is unaffected.
d. and the labor-force participation rate are both unaffected.
64. Sheamous loses his job and decides to sit on the beach rather than look for work during the next
few months. Other things the same, the unemployment rate
a. increases, and the labor-force participation rate decreases.
b. increases, and the labor-force participation rate is unaffected.
c. is unaffected, and the labor-force participation rate decreases.
d. and the labor-force participation rate are both unaffected.