1. Do you know which states have the highest unemployment rate right now?
2. As businesses are downsizing in the recession, they are laying off a lot of people. What type of unemployment will then occur?
3. What is the NRU?
4. What is the Structural Unemployment? If you are structurally unemployed, do you expect your jobs will come back? No! If you lose jobs to robotics at the automobile plant, are you then structurally unemployed or frictionally unemployed?
5. Can you describe how unemployment and inflation are interrelated? How do business cycles impact the economy? What are the causes of business cycles of expansion and contraction? How can the Demand pull inflation and Cost push inflation occur? Which is better for the economy: low inflation or high inflation? Think about the economic expansion during the 1990s.