Reference no: EM132471602

Scenario 1: I need to categorize the following groups of people by different types(structural, cyclical, or frictional). The following information is what i was given:

"There are 330,000 people reside in Riverside. Among them, 40% of the population is civilian labor force. The 15% of civilian lost their jobs because their job skills are not required any longer. 30% of civilian workers are unemployed because the economy is busted. 55% of remaining civilian workers are actively looking for jobs."

• Need to classify civilian labor force in Riverside into one of the following unemployment types: structural, cyclical, and frictional unemployment and explain why they belong there.
• Need to calculate how many of the civilian labor force in Riverside would fall into each type of unemployment

Scenario 2: There was a recent growth in consumer's confidence index which decreased by 20%, while recent technological breakthrough in medical and cell phone industries led to a cost savings and an increased productivity across the nation.

(I know that consumer confidence index (CCI) measures the degree of optimism that consumers feel about the overall state of the economy, and that the higher the CCI, the higher the consumption.)

• Need to discuss the change in price level and real GDP based on the events occurring in the scenario (Hint: aggregate demand and supply shifters)

Scenario 3: Recently, the US began to import wine from France. There are some opponents that argue imports will cut the price of domestic wine, leading to a decrease in the number of jobs in the US wine industry.

• Need to provide counter-evidence that states that imports will bring overall benefits to our nation in terms of improving the total welfare (sum of consumer and producer surplus).