Question

The bureau of labor statistics reported that in june 2004​, the labor force was 149.2 ​million, employment was 140.7 ​million, and the​ working-age population was 223.4 million. calculate the unemployment rate and the labor force participation rate for that month.

Answer 1

Answer:

Unemployment rate = 5.697%

Labor force participation rate = 66.786%

Explanation:

Given:

Labor force = 149.2 million

Number of employment = 140.7 million

Working-age population = 223.4 million

Unemployment rate = ?

Labor force participation rate = ?

Computation of Number of Unemployed:

Number of Unemployed = Labor force - Number of employment

Number of Unemployed = 149.2 million - 140.7 million

Number of Unemployed = 8.5 million

Computation of Unemployment rate:

Unemployment rate = 8.5 million  / 149.2 million  

Unemployment rate = 5.697%

Labor force participation rate = number in labor force / adult population

Labor force participation rate = 149.2/223.4  = 0.66786

Labor force participation rate = 66.786%