1. Explain why a generous EI system raises unemployment, but may still be desirable.

  2. Consider investments in education. What effect do you expect such investments to have on the unemployment rate if they are limited to programs that generate increases in the productivity of workers who are already skilled? What effect on unemployment would you expect if these investments are focused on unskilled individuals? Explain your reasoning.

  3. What do the antiglobalization protesters argue about the scope that governments have to provide support for their citizens on low incomes? Explain which parts of the protesters’ views you support, and which you do not support.