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ECN 117 Midterm Exam Questions For Self-Assessment Latest 2026/27 Update - University of California

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ECN 117 Midterm Exam Questions For Self-Assessment Latest 2026/27 Update - University of California

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ECN 117 Midterm Exam Questions For Self-Assessment Latest 2026/27 Update -
University of California
In general, the highest grades will be given to clear and precise answers. Use your time wisely, and good
luck. You will be given 70 minutes to complete the exam. There are total of 47 points in the exam, so
you should allocate about 1 minute per point.

A. [2 points each, total of 26 points]. Multiple choice questions.

Miami Control cities
1979 (Before Marielitos) 0.3 0.3
1981 (After Marielitos) 0.2 0.1

1. The table above shows crime rates (total number of crimes divided by total number of people) in
Miami and a set of control cities, before and after the arrival of Marielitos in 1980. Assume you
use these data and the difference-in-differences method to measure the impact of the arrival of
Marielitos (in 1980) on crime rates in Miami. In that case, you would find that:
a. Marielitos had no effect on crime rates in Miami
b. Marielitos decreased crime rates in Miami by 0.2
c. Marielitos decreased crime rates in Miami by 0.1
d. Marielitos increased crime rates in Miami by 0.1
e. Marielitos increased crime rates in Miami by 0.2




Wages Arrival of
Marielitos (1980)
Miami


Control Cities




1979 1980 1981




ECN 117 Midterm Exam

, 2. The figure above shows the evolution of the average wages of US-born workers in Miami and a
set of “control cities”, before and after the arrival of Marielitos in 1980. Consider two potential
research strategies to analyze the impacts of Marielitos: (1) a comparison of wages of US-born
workers in Miami “before and after” the arrival of Marielitos, and (2) a “difference-in-
differences” approach comparing changes in wages in Miami to changes in wages in the control
cities. Which of the following is true?
a. The measured impacts of Marielitos will be more positive when using the “before and
after” approach than when using the “difference-in-differences” approach
b. The measured impacts of Marielitos will be more positive when using the “difference-in-
differences” approach than when using the “before and after” approach
c. The measured impacts of Marielitos will be the same under both approaches
d. The measured impacts of Marielitos will be positive when using the “difference-in-
differences” approach but negative when using the “before and after” approach
e. The measured impacts of Marielitos will be negative when using the “difference-in-
differences” approach but positive when using the “before and after” approach


3. According to our discussion in lecture, which of these groups is the one whose labor market
outcomes are more likely to be negatively affected by immigration?
a. Natives in communication-intensive occupations
b. Natives in manual-intensive occupations
c. Previous immigrants in communication-intensive occupations
d. Previous immigrants in manual-intensive occupations
e. Refugees


4. Which of the following are problems when using the spatial correlations approach to measure the
labor market impacts of immigration?
a. Native born workers are more likely to move out of cities that receive more immigration
b. Migrants might be more likely to move to cities experiencing an economic boom
c. Migrants might be more likely to move to cities experience an economic decline since
rents in these locations will be cheap
d. a and b
e. a, b and c

5. Assume that there are two types of workers, skilled and unskilled. Consider the potential impacts
of an inflow of unskilled immigrants. Under which conditions would such impact be potentially
more negative for the average native worker?
a. Unskilled natives and unskilled immigrants are perfect substitutes with each other;
natives are 80% skilled and 20% unskilled
b. Unskilled natives and unskilled immigrants are imperfect substitutes with each other;
natives are 80% skilled and 20% unskilled
c. Unskilled natives and unskilled immigrants are perfect substitutes with each other;
natives are 50% skilled and 50% unskilled
d. Unskilled natives and unskilled immigrants are imperfect substitutes with each other;
natives are 50% skilled and 50% unskilled


ECN 117 Midterm Exam

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