ECO 2020 INCLUSIVE ACCESS
ECO 2020 INCLUSIVE ACCESS
21st Edition
ISBN: 9781260564617
Author: McConnell
Publisher: MCGRAW-HILL HIGHER EDUCATION
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Chapter 29, Problem 5DQ
To determine

The difficulty in determining the types of unemployment and the consequences of negative GDP.

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Using the figures in the Employment Summary Table on the previous page, assume that there is no structural unemployment, and that there are 5,000,000 who are frictionally unemployed. How many people are cyclically unemployed in 1998? 500,000 ○ 3,500,000 O 4,000,000 8,500,000 9,000,000 Exhibit 2 - Employment Summary Table 1998 1999 POPULATION 267,500,000 272,000,000 POTENTIAL LABOR FORCE 205,000,000 210,000,000 LABOR FORCE EMPLOYED UNEMPLOYED 150,000,000 154,500,000 141,500,000 145,500,000 8,500,000 9,000,000
docs.google.com a 4. A country has a total adult population of 10 million, and of these 210 thousand are currently out of work and actively searching for new employment. A further 2.9 million are not working because they are retired, institutionalized, or simply choose not to work. Finally a total of 10o0 thousand citizens are currently enlisted with the military, what is the current unemployment rate? * 2.1% 3% 4.5% O 2.9% 5. Suppoco vOur fathor oarnod a ooloru O OO
If the population is 300 million, with 70 million under the age of 16 and institutionalized, another 70 million not in the labor force, 10 million unemployed and 150 million employed, the unemployment rate is O 23.3% O 6.2% O 6.7% O 26.7%
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