Power point request. see attached. 

Instructions
For this assignment, you will continue with the industry you selected in Unit II. You will create a PowerPoint presentation in which you will be looking at historical, current, and forecasted measures of the unemployment rate, inflation rate, and labor force participation rate for the United States as a whole. You must utilize the Notes or Audio Narration feature of PowerPoint to explain each slide in detail.
Please address the following in your presentation.
Provide a minimum of a 3-year history of the following:
unemployment rate in the United States,
inflation rate in the United States, and
labor force participation rate in the United States.
Indicate how these historical measures impacted your selected industry.
Provide a current evaluation of the status of the following:
unemployment rate in the United States,
inflation rate in the United States, and
labor force participation rate in the United States.
Indicate how the current status of these economic indicators are impacting your selected industry.
Provide a forecast (projecting at least 3 years into the future) of the following:
unemployment rate in the United States,
inflation rate in the United States, and
labor force participation rate in the United States.
Indicate how the forecast of these economic indicators will impact your selected industry if the forecast is correct.
Your PowerPoint presentation must be a minimum of 15 slides in length (including the title slide and reference slide). Please present your content using the following format.
Slide 1: Title slide
Slide 2: Introduction
Slide 3: A 3-year history (minimum) of the U.S. unemployment rate
Slide 4: A 3-year history (minimum) of the U.S. inflation rate
Slide 5: A 3-year history (minimum) of the U.S. labor force participation rate
Slide 6: How the historical measures impacted your selected industry
Slide 7: Current status of the U.S. unemployment rate
Slide 8: Current status of the U.S. inflation rate
Slide 9: Current status of the U.S. labor force participation rate
Slide 10: How the current status of the economic indicators are impacting your selected industry
Slide 11: Forecast (3-year minimum) of the U.S. unemployment rate
Slide 12: Forecast (3-year minimum) of the U.S. inflation rate
Slide 13: Forecast (3-year minimum) of the U.S. labor force participation rate
Slide 14: How the forecasts of the economic indicators are going to impact your selected industry.
Slide 15: References
Ensure that the presentation you create is your own authentic work. Adhere to APA Style when creating citations and references for this assignment. APA formatting, however, is not necessary.
The U.S. Bureau of Labor Statistics website is helpful for finding data for this assignment.
If you wish to review how to create a PowerPoint presentation, view this Success Center tutorial PowerPoint Basics.
For additional guidance concerning narrating PowerPoint slides, access Adding Audio to a PowerPoint Presentation .

ECO 2302, Principles of Macroeconomics 1

  • Course Learning Outcomes for Unit IV
  • Upon completion of this unit, students should be able to:

    4. Discuss the effects of unemployment and inflation on the economy.
    4.1 Describe what the unemployment rate measures and the four types of unemployment.
    4.2 Define inflation and the sources of inflation.
    4.3 Describe how to measure labor productivity and why it is important.

    Course/Unit
    Learning Outcomes

    Learning Activity

    4.1

  • Unit Lesson
  • Chapter 7
    Article: “Why the

  • Unemployment
  • Rate Still Matters”
    Unit IV PowerPoint Presentation

    4.2

    Unit Lesson
    Chapter 7
    Article: “Price &

  • Inflation

  • Unit IV PowerPoint Presentation

    4.3

    Unit Lesson
    Chapter 8
    Article: “Understanding the

  • Labor Productivity
  • and Compensation Gap”
    Article: “What Can Labor Productivity Tell Us About the U.S. Economy?”
    Unit IV PowerPoint Presentation

  • Required Unit Resources
  • Chapter 7:

    Unemployment and Inflation

    Chapter 8: Productivity and Growth

    In order to access the following resources, click the links below.

    Bureau of Economic Analysis. (2018, September 6). Prices & inflation.

    https://www.bea.gov/resources/learning-center/what-to-know-prices-inflation

    Brill, M., Holman, C., Morris, C., Raichoudhary, R., & Yosif, N. (2017, June). Understanding the labor

    productivity and compensation gap. Beyond the Numbers, 6(6). https://www.bls.gov/opub/btn/volume-
    6/understanding-the-labor-productivity-and-compensation-gap.htm

    Sprague, S. (2014, June). What can labor productivity tell us about the U.S. economy? Beyond the Numbers,

    3(12). https://www.bls.gov/opub/btn/volume-3/what-can-labor-productivity-tell-us-about-the-us-
    economy.htm

    U.S. Bureau of Labor Statistics. (2017, January 25). Why the unemployment rate still matters.

    https://blogs.bls.gov/blog/2017/01/25/why-the-unemployment-rate-still-matters/

    UNIT IV STUDY GUIDE

    Unemployment and Inflation

    https://www.bea.gov/resources/learning-center/what-to-know-prices-inflation

    https://www.bls.gov/opub/btn/volume-6/understanding-the-labor-productivity-and-compensation-gap.htm

    https://www.bls.gov/opub/btn/volume-6/understanding-the-labor-productivity-and-compensation-gap.htm

    https://www.bls.gov/opub/btn/volume-3/what-can-labor-productivity-tell-us-about-the-us-economy.htm

    https://blogs.bls.gov/blog/2017/01/25/why-the-unemployment-rate-still-matters/

    ECO 2302, Principles of Macroeconomics 2

    UNIT x STUDY GUIDE

    Title

    Unit Lesson

    As we begin Unit IV, we continue our look at the overall economy and build on the knowledge we have gained
    in the first three units of the course. In this unit, we will be addressing the topics of unemployment, inflation,
    and labor productivity. Each of these topics is addressed below.

    Unemployment

    It is doubtful that any adult is unfamiliar with the word unemployment. We hear this word on the news, read it
    in newspapers, and hear it while we are shopping—it seems to be everywhere. Essentially, we are
    surrounded by worries about unemployment and the unemployment rate. As common as this word is in
    society, many do not understand the true meaning of the term unemployment or what it means to be
    unemployed. Many may think that any person not working would be considered to be unemployed. You will
    see why this is not necessarily the case as you move through this lesson and the rest of Unit IV.

    When we discuss unemployment and how it is measured, we first must address who can be considered to be
    employed or unemployed. First, only the adult population can be considered as employed or unemployed.
    This adult population is defined as anyone over the age of 16 (McEachern, 2019). Next, there are limitations
    to this adult population. Specifically, these adults are civilians. This means that anyone in the military is not
    considered when calculating unemployment. Also, any adult in prison, a mental hospital, or a home for the
    elderly is not counted. Finally, someone either has to be employed or actively looking for a job to be counted
    as either employed or unemployed. All of these limitations are summarized as the “labor force.” Those adult,
    noninstitutionalized civilians who are actively working are considered to be employed. The adult,
    noninstitutionalized civilians who are looking for work, but cannot find work, are considered to be unemployed.
    As you can see, being unemployed is far more specific that someone who just does not have a job.

    Once it is understood that a person has to be in the labor force to be considered to be employed or
    unemployed, calculating the unemployment rate becomes easy. Divide the number of people in the labor
    force who are not working (but are actively seeking employment) by the total labor force, and you get the
    unemployment rate (McEachern, 2019).

    There are many reasons adults may not be in the labor force. Retirees, for instance, who are no longer willing
    to work are not counted in the labor force. Those staying at home to take care of small children or who are in
    school are also not choosing to work. The textbook also suggests that adults may have searched and
    searched for employment with no luck and just gave up (McEachern, 2019). These individuals are referred to
    as discouraged workers. For many different reasons, individuals may just drop out of the labor force. When
    this happens, these individuals are no longer counted as being unemployed.

    Individuals who drop out of the labor force are not forgotten, however. The labor force participation rate
    evaluates all those in the labor force versus the total adult population, which would include those not in the
    labor force. Specifically, McEachern (2019) suggests that the labor participation rate is determined by dividing
    the labor force by the entire adult population. In January 1966, the labor participation rate was equal to 59%
    (U.S. Bureau of Labor Statistics, n.d.). This means that 59% of the adult population of the United States in
    January of 1966 were in the labor force. This percentage began to grow steadily in the 90s, reaching its peak
    in April of 2000 at 67.3%. As of October 2019, the labor participation rate was at 63.3% (U.S. Bureau of Labor
    Statistics, n.d.).

    To help you better understand this topic, watch the video Unemployment. A transcript and closed captioning
    are available once you access the video.

  • Types of Unemployment
  • Now that unemployment has been defined and understood, it is important to know the various types of
    unemployment. These types are frictional, seasonal, structural, and cyclical unemployment. Frictional
    unemployment refers to the fact that it takes time for those looking for work to find employers (McEachern,
    2019). This type of unemployment is expected and does not worry economists and policy makers. After all, it
    takes time for a person to find the right job and time for the employer to find the right person to hire.

    https://c24.page/6dmhnssvg5u2veymcwksh7f5dg

    ECO 2302, Principles of Macroeconomics 3

    UNIT x STUDY GUIDE

    Title

    The next type of unemployment is seasonal. Seasonal unemployment occurs in industries that need a lot of
    labor only during specific times of the year. For example, there is higher demand for lifeguard labor at
    beaches during the summer months than in January. Laborers who pick fresh fruits become unemployed
    once all the fruit is harvested. Finally, those employed only during the busy Christmas holiday season would
    be considered to be seasonal unemployment. This is another type of unemployment that does not worry
    economists and policy makers (McEachern, 2019).

    The next type of unemployment does bother economists and policy makers. Structural unemployment occurs
    when a change in the demand for certain skills rises or lowers based on criteria such as technology,
    competition, preferences, and taxes (McEachern, 2019). For instance, at one time, bowling alleys employed
    people to reset the bowling pins after each ball was rolled. After machines were developed to reset these
    pins, these workers’ skills were no longer needed. Also, at one time, people had to call directory assistance to
    find a phone number. People were employed at directory assistance to physically look up the phone number
    in a phone book and provide the caller with the number. Today, these job skills are no longer needed as you
    can search for a phone number on the Internet. One has to wonder as we enter the next century if travel
    agents, cashiers, postal carriers, and bank tellers will find themselves structurally unemployed because their
    skills will no longer be needed.

    Cyclical unemployment, the last type of unemployment, worries economists and policy makers the most
    (McEachern, 2019). Cyclical unemployment occurs with fluctuations in the business cycle. Simply put, cyclical
    unemployment occurs when demand for goods and services decreases so much that there is no longer a
    need for as much labor. Cyclical unemployment occurring also means that the economy is producing inside
    its production possibilities frontier, which means that resources are not being utilized to their full potential.
    Because people are cyclically unemployed, demand decreases even more. Firms have less need for workers
    and reduce labor even more. The cycle goes on and on until an event happens that breaks this cycle.

    Inflation

    Another term that is common in news reports today is inflation. As you learned previously, inflation is the rise
    in the economy’s price level over time (McEachern, 2019). The price of cars increasing by 10% in one year
    does not necessarily mean that inflation has occurred. However, if the price of all goods in the economy
    increase by 10% in one year, we have inflation.

    As with unemployment, there are different types of inflation. McEachern (2019) specifically addresses three
    additional types: hyperinflation, deflation, and disinflation. Extremely high inflation is called hyperinflation. An
    example of hyperinflation occurred in Venezuela in 2005 when Venezuela experienced an inflation rate of
    16% (International Monetary Fund, 2019). This sounds bad enough, as the average price level in Venezuela
    had increased by 16% from 2004 to 2005. However, by 2019, Venezuela was facing an inflation rate of
    200,000%!

    Deflation occurs when the economy’s actual price level decreases from one time period (e.g., one year) to the
    next. Another way to look at deflation is that the inflation rate is negative. The most noted era of deflation was
    the Great Depression. In 1930, the inflation rate for the United States was -6.4%. It dropped to -9.3% in 1930,
    then to -10.3% in 1931, before finally becoming positive again in 1933 when the inflation rate was 0.8% (U.S.
    Bureau of Labor Statistics, 2017).

    Finally, disinflation occurs when the inflation rate is still positive, but it is lower than the previous time period
    (McEachern, 2019). As an example, in 2011, the inflation rate for the United States was 3.0% (U.S. Bureau of
    Labor Statistics, 2017). In 2012, the inflation rate was still positive but had dropped to 1.7%. Notice how the
    inflation rate is still positive in 2012 but lower than the inflation rate in 2011. This is an example of disinflation.

    Watch the video Inflation to get a better understanding of this topic. A transcript and closed captioning are
    available once you access the video.

    https://c24.page/2my6gcmgemsvdmgbfr2wkavd6z

    ECO 2302, Principles of Macroeconomics 4

    UNIT x STUDY GUIDE

    Title

  • Sources of Inflation
  • Economists have identified two sources of inflation. Looking at the aggregate supply and demand curve below
    that we learned about in Unit III, we see that the intersection of these two curves tells us the average price
    level (on the vertical axis) in the economy. There are two ways the average price level in the economy can
    increase—either the demand curve has to shift to the right, or the supply curve has to shift to the left. It is as
    simple as that.

  • Demand-Pull Inflation
  • When the demand curve shifts to the right from AD1 to AD2, as illustrated below, notice how the demand
    moves farther away from the vertical price level axis (the demand curve is “pulling away” from the vertical
    axis). In this case, the price level increases from 111.4 to 115.2—it is getting pulled higher by the demand
    curve shifting right. That is why this is called demand-pull inflation. McEachern (2019) points out that
    government spending during the Vietnam War and expanded social programs during the 1960s resulted in
    the aggregate demand curve continuously shifting to the right and causing demand-pull inflation.

    ECO 2302, Principles of Macroeconomics 5

    UNIT x STUDY GUIDE

    Title

  • Cost-Push Inflation
  • The aggregate supply curve shifting to the left can also cause what is known as cost-push inflation. In this
    case, the aggregate supply curve shifts from AS1 to AS2, as shown below. The aggregate supply curve is
    pushing in toward the vertical price level axis. The price level in the figure below increases from 111.4 to
    113.7 (it is getting pushed higher by the aggregate supply curve shifting left). Because prices are being
    “pushed” higher by the aggregate supply curve, we call this type of inflation cost-push inflation. McEachern
    (2019) indicates that cost-push inflation occurred between 1973 and 1975 when crops failed in the United
    States and when OPEC raised oil prices. Both of these events resulted in decreases in aggregate supply.

    ECO 2302, Principles of Macroeconomics 6

    UNIT x STUDY GUIDE

    Title

    As we learned earlier in the course, both the aggregate demand and aggregate supply curves can shift at the
    same time. If the aggregate demand curve is shifting to the right, and the aggregate supply curve is shifting to
    the left at the same time, we can have both demand-pull and cost-push inflation.

    Labor Productivity

    Think back to the concept of production possibilities frontier that was covered in Unit I. The production
    possibilities frontier showed what the economy can produce when the resources that are available are used
    efficiently (McEachern, 2019). Also recall that changes in technology, capital stock, laws, or the amount of
    resources available can cause the production possibilities frontier to shift to the right. One of the resources
    that is available for producing output is labor. If the population increases, the production possibilities frontier
    can shift to the right. The same shift can occur if the population does not change, but on average everyone
    decides to work more hours.

    We focus so much on labor and the production of goods for an economy because it is the most common
    resource used to measure productivity in an economy (McEachern, 2019). It is further explained that labor
    accounts for about 70% of the cost of production. Also, labor is easier to measure than other inputs, as data
    concerning labor hours, employment levels, and so on is easier to obtain than information on other inputs.
    Given all these factors, much focus is placed in economics on labor productivity. Labor productivity is
    determined by dividing real GDP by the hours of labor used to produce that output.

    When it comes to increasing labor productivity, McEachern (2019) points out that capital gives the most “bang
    for the buck.” If you were asked to go into a large park in the city and pull all the weeds by hand, your labor
    productivity would be very low compared to someone who could use a tool, such as a garden hoe. In this
    instance, the garden hoe would be physical capital that is added to make labor productivity increase.
    Likewise, increasing human capital (accumulated knowledge, skill, and experience) can increase labor
    productivity. Chefs who have been studying and cooking in the same restaurant and making the same meals
    for 20 years are far more productive than chefs who have just been hired. Years of experience means the first
    group of chefs would probably not even need to measure out the ingredients for each meal. The newly hired
    chefs would need to refer to recipes, measure ingredients, maybe figure out how to turn on and use the stove
    and other equipment and thus would have a much lower labor productivity.

    It is safe to say that as an economy accumulates more capital per worker, whether it is physical capital,
    human capital, or both, labor productivity increases. The increase in labor productivity causes incomes to
    increase and thereby increases the standard of living (McEachern, 2019).

    References

    International Monetary Fund. (2019). República Bolivariana de Venezuela. Retrieved October 2019, from

    https://www.imf.org/en/Countries/VEN

    McEachern, W. A. (2019, March 8). Macro ECON6: Principles of macroeconomics (6th ed.). 4LTR Press.

    U.S. Bureau of Labor Statistics. (n.d.). Labor force participation rate [Graph]. Federal Reserve Bank of St.

    Louis. Retrieved October 2019, from https://fred.stlouisfed.org/series/CIVPART

    U.S. Bureau of Labor Statistics. (2017, August 14). Consumer price index (CPI) databases.

    https://www.bls.gov/cpi/data.htm

      Course Learning Outcomes for Unit IV

      Required Unit Resources

      Unit Lesson

      Unemployment

      Types of Unemployment

      Inflation

      Sources of Inflation

      Demand-Pull Inflation

      Cost-Push Inflation

      Labor Productivity

    Running Head: UNIT II ESSAY

    Unit II Macroeconomics Essay

    Cecilia Williamson

    Columbia Southern University

    UNIT II ESSAY 2

    The difference between a movement and a shift along the demand and supply curves depends

    on factors that affect demand and supply. For instance, you get a movement on the demand and supply

    curve when all the factors are constant except the price i.e., all the factors are constant, but the price

    keeps changing (Hayashi et al., 2019). You get a shift on the demand and supply curve when more than

    one factor affecting the demand and supply are changing. Thus, a change in price or any other factor will

    cause the demand and supply curve to vary.

    One of the main causes of the shift in the demand and supply curve is the increased prices, increasing

    demand for a particular product while the quantity supplied remains constant. For instance, the supply

    of Christmas trees is constant; however, when more people need it in a particular year than usual, the

    processes will have to change. Changes in consumer preferences can cause a shift in the demand and

    supply curve. For example, customers migrating to alternative products will affect the quantity and

    pricing for the original product, hence causing the shift.

    Equilibrium is related product demand and supply hence for one to find a product or market

    equilibrium, one should consider supply and demand schedule, demand and supply curve and the

    formula for demand and supply (Hayashi et al., 2019). The curves will help prove the point at which the

    demand and supply meet and they are equal hence that is the equilibrium or the market equilibrium. To

    find the equilibrium there should be no external forces which can influence the quantity and price.

    Demand is a major driving factor in every economy hence it holds a significant i mpact on the

    equilibrium. When the demand curve shifts to the right, there is an increase in demand leading to a

    higher equilibrium price (Hayashi et al., 2019). If the supply curve shifts upwards, the equilibrium price

    increases due to the decreasing quantity.

    UNIT II ESSAY 3

    Wristwatches remain popular amongst the audience despite having other alternatives such as

    mobile phones to check the time. This can be explained by the fact that it is part of fashion, culture and

    many other factors (Darmwal, 2015). One of the products currently experiencing a rise in supply and

    demand is the smart watch. Despite the traditional watch still having a significant market share in the

    wristwatch industry, the smart watch is bound to be the future as already indicated by the increasing

    demand (Cecchinato et al., 2015). The changes can be explained by the demand and supply curves and

    graphs.

    The change in consumer taste and preferences is one of the factors currently affecting the

    demand curve in wristwatch graph. The increased preference of smartwatch over the traditional

    watches is currently pushing the graph to the

    right.

    The second factor is affordability i.e., the price

    changes of a related good. The process of smartwatches is going down due to the increased supply and

    many manufacturers. This has led to the demand shifting the curve to the right.

    One of the main factors currently affecting the supply curve for wrist watches is the number of

    sellers. According to Cecchinato et al. (2015), there are many sellers currently dealing in both traditional

    and smart wrist watches leading to the increase in supply which leads to the supply curve shifting to the

    right.

    UNIT II ESSAY 4

    References

    Cecchinato, M. E., Cox, A. L., & Bird, J. (2015, April). Smartwatches: the good, the bad and the ugly? In

    Proceedings of the 33rd Annual ACM Conference extended abstracts on human factors in computing

    systems (pp. 2133-2138).

    Darmwal, R. (2015). Wrist wars: Smart watches vs traditional watches. Telecom Business Review, 8(1),

    69.

    Hayashi, Y., Friedel, J. E., Foreman, A. M., & Wirth, O. (2019, March 18). A behavioral economic analysis

    of demand for texting while driving. The Psychological Record, 69(2), 225–237.

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