1. What are the three categories into which the Bureau of Labor Statistics divides everyone? How does the BLS compute the labor force, the unemployment rate, and the labor-force participation rate? 2. Why is frictional unemployment inevitable? How might the government reduce the amount of frictional unemployment? 3. Are minimum-wage laws a better explanation for structural unemployment among teenagers or among college graduates? Why? 4. How do unions affect the natural rate of unemployment? 5. What claims do advocates of unions make to argue that unions are good for the economy 6. Explain four ways in which a firm might increase its profits by raising the wages it pays.
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