MI 1: Technological Unemployment Flashcards
1
Q
Unemployment rate, u
A
(number of unemployed / labor force )* 100
2
Q
LFPR trends
A
Women: increasing
Men: decreasing (more school, retire earlier, more stay home)
3
Q
LFPR
A
(Labor force / adult pop)*100
4
Q
“lump of labor” fallacy
A
notion that there’s only a finite amount of work to do
5
Q
AI differences and concerns
A
- computers in every field
- software developed quickly
6
Q
Income inequality
A
highest quartile: incomes shares increasing
lowest and 2nd lowest quartile: income shares decreasing
7
Q
Explanations for income inequality
A
- globalization
- skill-biased technological change
- race between education and technology
- other (immigration, union power, superstar)
8
Q
Globalization effects
A
- demand for US low-skilled decreases (jobs easily moved overseas)
- demand for US high-skilled increases (banking, consulting, jet engines)
- leads to high income inequality
9
Q
skill-biased technological change
A
- demand for routine, middle-class jobs decreases
- demand for non-routine low and high skill increases (low less than high)
10
Q
wage polarization?
A
no
mean wage among occupations is not changing
