Problem
1. Discuss some of the basic patterns of unemployment in the US since 1960.
2. What are the differences between frictional and structural unemployment? Should we be equally concerned with all types of unemployment? Do the same policies help alleviate both frictional and structural unemployment?
3. Derive the steady-state rate of unemployment. Show how it depends on the transition probabilities between employment and unemployment.
The response should include a reference list. Double-space, using Times New Roman 12 pnt font, one-inch margins, and APA style of writing and citations.