Question

Janice used to work for as a pilot for Delta Airline, but when the pandemic hit in 2020, Delta had to lay her off and now she is looking for a new job. What kind of unemployment is Janice experiencing? a Frictionally unemployed b. Cyclically unemployed c. Constrained Unemployment d. Seasonally unemployed

What would happen to the price level and real GDP in the short-run if there is a major recession in Europe and Asia? a The price level and real GDP will both decrease b. The price level will increase, but real GDP will decrease c. The price level will decrease, but real GDP will increase d. Nothing will happen in the USA, since our economy is not connected to Europe or Asia

Answer 1

The unemployment is cyclical unemployment because of economic downturn which is type of cyclical unemployment whilefrictiinal unemployment is when person looking for better opportunity or in between jobs andswasona I unemployment because of seasonal nature of job or business Hence, B) cyclically unemployed

If there is major recession in europe and Asia US Export would be affected becaus eof lower Demand leading to oversupply in domestic market, producer will reduce production hence,A) Prices and real GDP will both decrease