Work and Economy Flashcards

Questions and Answers

Which of the following is an example of structural unemployment?

A large fire burns down an automotive plant in Detroit, forcing the employees temporarily out of work.

Though many companies are hiring in Washington D.C., unemployment is high in Tennessee. (correct)

John quits his job after getting accepted into law school.

Three sales associates from Target are fired after stealing merchandise from the electronics department.

The term mercantilism can best be defined as:

When children tend to enter the same or similar occupation as their parents.

An economic system in which there is government ownership of goods and their production.

An economic system in which there is private ownership and an impetus to produce profit.

An economic policy based on national policies of accumulating silver and gold by controlling markets. (correct)

Terrence and his family own a farm in a remote region of Chile. What are they engaging in?

Mercantilism

Capitalism

Subsistence Farming (correct)

Capitalistic Farming

Which of the following is an example of convergence theory in action?

Germany rebuilt its economy after World War II. Signup and view all the answers

What was the significance of NAFTA?

It allowed freer trade opportunities for the United States, Canada, and Mexico. Signup and view all the answers

During what time period did economies begin to develop globally?

The Agricultural Revolution Signup and view all the answers

Keshawn used to work for an IT company in Baltimore, but lost his job when his company decided to use workers in New Delhi instead. This is an example of:

Outsourcing Signup and view all the answers

What is one reason unemployment statistics are unreliable?

The statistics include only those who are currently looking for work. Signup and view all the answers

Alex's country was once communist, but now allows limited private ownership. What kind of economy is Alex living in?

Market Socialist Signup and view all the answers

Which of the following is an example of polarization?

The job market is increasing in the lowest economic levels and in the highest economic levels. Signup and view all the answers

Study Notes

Structural Unemployment

Occurs when jobs are available in one area (like Washington D.C.) but not in another area (like Tennessee) despite high unemployment in the latter.

Mercantilism

Economic policy focused on accumulating wealth through controlling markets using colonies, taxes, and customs charges.
Emphasizes national wealth, particularly through the acquisition of silver and gold.

Subsistence Farming

Farming method where families produce enough food solely to meet their own needs, without surplus for sale, as exemplified by Terrence's farm in remote Chile.

Convergence Theory

Illustrated by Germany's post-World War II economic recovery, which created abundant job opportunities and increased prosperity.

NAFTA Significance

North American Free Trade Agreement, which enhanced trade opportunities among the United States, Canada, and Mexico by reducing barriers.

Global Economic Development

Global economies began to take shape during the Agricultural Revolution, shifting from localized systems to interconnected economies.

Outsourcing

Refers to the practice of relocating jobs overseas, as seen when Keshawn lost his IT job due to the company choosing workers in New Delhi.

Unemployment Statistics Reliability

Often unreliable because they only consider individuals actively seeking work, potentially excluding many unemployed individuals.

Market Socialism

Describes an economic system that incorporates some private ownership within a previously communist framework, allowing for market forces to influence production and pricing.

Polarization in Job Markets

Characterized by job growth at extreme ends of the economic spectrum, with increased opportunities in both low-wage and high-wage jobs, while middle-income jobs stagnate.

Underemployment

A scenario where individuals are employed in positions that do not utilize their skills or education, such as a graduate working part-time in a job unrelated to their field.

Description

Test your knowledge of work and economy concepts with these flashcards. This quiz focuses on different types of unemployment and their implications. See how well you understand the factors that affect labor markets and employment trends.