Question

The table below presents labor market data for three countries. All population values are in millions.

Country	Working-age population	Labor force	Employed	Unemployed	Unemployment rate (%)	Labor-force participation rate (%)
Japan	106		61	5
France		31		7		51.67
Germany	77	48			12.5

Instructions: For the last two columns, enter your responses as percentages rounded to one decimal place.

Instructions: Round your answers for the working-age population, labor force, employed, and unemployed to the nearest whole number.

a. Fill in the blanks in the table above.

b. In part a, you may have noticed that the unemployment rates of the three countries differ from one another.

Which of the following are possible reasons why a country may have a higher unemployment rate?

Instructions: You may select more than one answer. Click the box with a check mark for correct answers and click to empty the box for the wrong answers.

The country could be in a recession and have higher cyclical unemployment.unanswered

The country could have a lower natural rate of unemployment.unanswered

The country could have higher (and binding) minimum wages.unanswered

The country could have a more liberalized labor market, leading to lower frictional unemployment.unanswered

The country could have more generous unemployment benefits.unanswered

Many firms in the country have elected to pay efficiency wages.unanswered

A greater percentage of the country's workers could be unionized..unanswered

The country could be in an expansion and have lower cyclical unemployment.

Answer 1