Consider the following two proposals to reform unemployment insurance. Explainthe arguments for and against each reform.(a) The insurance payment would be increased so that it replaced 100% of aworker’s regular labour income for up to 26 weeks.(b) Each worker would be paid a lump sum equal to 10 weeks of his or her labourincome at the start of the spell of unemployment. There would then be no otherpayments

Arthur is an unskilled worker who is currently unemployed. He has been offered a minimum-wage job paying $40 per day, but he is currently receiving unemployment insurance benefits of $50 per day, so he chooses not to accept the minimum wage job and to continue looking for a better job. Arthur is ______ unemployed.  technologically   frictionally   cyclically   structurally Review "Types of unemployment" in page 22 of Lecture 3 or 5.3. Unemployment of Textbook. IncorrectQuestion 20 / 1 ptsIf employed people choose to retire later we would expect:  the working-age population to increase   all of the other answers   the participation rate to increase   the unemployment rate to increase Review the concept of the participation rate and the working-age population. IncorrectQuestion 30 / 1 ptsAll other things being equal, the labour force participation rate is most likely to rise if  Government child care subsidies are reduced.   Economic activity is expected to slow.   There is technological progress.   Marginal income tax rates are decreased.   None of the above.  IncorrectQuestion 40 / 1 ptsImagine that a new technology allows firms to costlessly improve the productivity of their existing machines by making each worker produce more output per unit of time. What effect will this change have on employment and wages, other things being equal?  Employment will fall but wages may rise or fall.   Employment will fall, wages will rise.   Employment will rise, wages will rise.   Employment will fall, wages will fall.   Employment will rise, wages will fall.  Question 51 / 1 ptsAssume that the consumption basket on which Australia's CPI is calculated consists of food, electronics and health care services. The weights associated with each of these expenditure components are 50 percent, 20 percent and 30 percent respectively. Assume that the inflation rate is 5 percent, health care prices have risen by 8 percent and the price of electronic goods has fallen by 10 percent. The change in food prices must be  9.2 percent  10.3 percent  38.7 percent  42.5 percent   20.4 percentA CPI can be calculated as a weighted average of the price change of the goods and services. The inflation rate is the percentage change in the CPI over the specified period. Question 61 / 1 ptsThe working age population of Australia is 15,000,000. In March the unemployment rate was 5% and the participation rate was 60%. Then following the COVID-19 pandemic the number of unemployed people doubles. Find the number of employed people in March and the number of people who are now unemployed.  Employed in March = 9,000,000, Unemployed now = 450,000   Employed in March = 8,500,000, Unemployed now = 900,000   Employed in March = 9,000,000, Unemployed now = 900,000   Employed in March = 8,550,000, Unemployed now = 900,000 The participation rate is the ratio of the labour force to the working age population. The labour force is the total number of employed and unemployed people in the economy. Using these definitions and numbers in the question, you can then back out the number of employed and unemployed, respectively. Question 71 / 1 ptsIf the price of coffee rises sharply compared with the price of tea, and coffee-drinkers don't mind drinking tea instead of coffee, consumers will buy more tea and less coffee than they did in the CPI base year. Thus, CPI will tend to _______inflation as a result of ___________bias.      overstate; quality adjustment    overstate; substitution   overstate; quality adjustment   understate; substitutionBiases in the measurement of CPI can occur. Review 3.3. (Does the CPI measure 'true' inflation?) of Textbook. Question 81 / 1 ptsSuppose a new computer model is introduced to replace a model included in the CPI basket. The price of the new model is 5% higher than the discontinued model, but the new model also includes additional features. In this situation, the CPI will tend to _____ inflation as a result of _____ bias.      overstate; quality adjustment    understate; substitution   accurately measure; substitution   overstate; substitutionBiases in the measurement of CPI can occur. Review 3.3. (Does the CPI measure 'true' inflation?) of Textbook. Question 91 / 1 ptsWhich of the following is NOT a reason(s) to avoid deflation?  Real cost of borrowing is higher than the nominal cost.   Policymakers cannot lower nominal interest rates below zero, making the policy ineffective.   All of the answers are valid reasons.   It puts more people into higher income tax brackets. Deflation is a sustained fall in the average price level. IncorrectQuestion 100 / 1 ptsThe phenomenon known as _____ occurs when inflation causes people to pay an increasing percentage of their income in taxes, even when their real incomes have not changed.      the Fisher effect   deflation   bracket creep   shoe-leather costs Inflation causes distortions in the progressive income tax system. Why?Quiz Score: 6 out of 10

Outline ONE social cost and ONE economic cost of unemployment

If the economy is experiencing unemployment, then the most appropriate government policy would be to shift the aggregate:

Suppose unemployment benefits in 2022 are equal to $300 per week. If unemployment benefits are indexed to inflation and inflation between 2022 and 2023 if 5% then the change in unemployment benefits between 2022 and 2023 is:Group of answer choices$15$5$0None of the other answers

If the government wants to reduce unemployment, it would use _____to shift the ______. automatic stabilizers; aggregate supply curve to the left contractionary fiscal policy; aggregate demand curve to the left contractionary fiscal policy; aggregate supply curve to the left expansionary fiscal policy; aggregate supply curve to the right expansionary fiscal policy; aggregate demand curve to the right