Assume you have the following information about an economy: Labor Force of an Economy Number of People (millions) 245.30 Population over age 16 Labor force 154.80 Not in the labor force 90.50 Employed Unemployed 146.00 8.80 Instructions: Round your answers to 2 decimal places. a. What is the unemployment rate in this economy? b. What is the labor force participation rate? c. Suppose that 0.9 million currently unemployed workers decide to no longer actively look for work. What is the unemployment rate in this economy now?

Exploring Economics
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ISBN:9781544336329
Author:Robert L. Sexton
Publisher:Robert L. Sexton
Chapter18: Introduction To Macroeconomics: Unemployment, Inflation, And Economic Fluctuations
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Assume you have the following information about an economy:
Labor Force of an Economy
Number of People (millions)
|245.30
Population over age 16
Labor force
154.80
Not in the labor force
90.50
Employed
146.00
Unemployed
8.80
Instructions: Round your answers to 2 decimal places.
a. What is the unemployment rate in this economy?
b. What is the labor force participation rate?
c. Suppose that 0.9 million currently unemployed workers decide to no longer actively look for work. What is the unemployment rate in
this economy now?
d. Whát is the new labor force participation rate?
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Transcribed Image Text:Assume you have the following information about an economy: Labor Force of an Economy Number of People (millions) |245.30 Population over age 16 Labor force 154.80 Not in the labor force 90.50 Employed 146.00 Unemployed 8.80 Instructions: Round your answers to 2 decimal places. a. What is the unemployment rate in this economy? b. What is the labor force participation rate? c. Suppose that 0.9 million currently unemployed workers decide to no longer actively look for work. What is the unemployment rate in this economy now? d. Whát is the new labor force participation rate? < Prev 7 of 10 曲 Next >
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Discouraged workers - Individuals who want jobs but, after unsuccessfulsearches, have given up looking is this type of workers are not includedin the labor force.

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