According to the memo, what are some precautions one should take in reading the Employment Situation Report for a given month? Since the report is issued by the federal government, the job numbers are often manipulated by officials for partisan gain and so should be taken with a grain of salt. Because revisions to the nonfarm employment estimate can be substantial, one shouldn't read too much into the number for any one month. □ Changes in total nonfarm employment are volatile, so one should focus less on one month's number than on an average over several months. The implication of the unemployment rate regarding slackness in the labor market is not entirely clear, as estimates of the natural rate of unemployment vary somewhat over time.
According to the memo, what are some precautions one should take in reading the Employment Situation Report for a given month? Since the report is issued by the federal government, the job numbers are often manipulated by officials for partisan gain and so should be taken with a grain of salt. Because revisions to the nonfarm employment estimate can be substantial, one shouldn't read too much into the number for any one month. □ Changes in total nonfarm employment are volatile, so one should focus less on one month's number than on an average over several months. The implication of the unemployment rate regarding slackness in the labor market is not entirely clear, as estimates of the natural rate of unemployment vary somewhat over time.
Chapter16: Business Cycles And Unemployment
Section: Chapter Questions
Problem 6SQP
Related questions
Question
urgent dont use chatgpt answer i will 10 upvotes
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
This is a popular solution!
Trending now
This is a popular solution!
Step by step
Solved in 3 steps
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, economics and related others by exploring similar questions and additional content below.Recommended textbooks for you