Question

8. Use the data below to answer the following question. Population 60 million Number in the labor force 50 million Number employed full time 38 million Number employed part time 10 million Number unemployed 2 million What is the unemployment rate of the economy?

Answer 1

Answer:

4%

Step-by-step explanation:

The unemployment rate is calculated by dividing the number of unemployed(2 million) by the labor force (50million) and multiplying the result by 100.

Labor force is the total number of unemployed and employed persons in a country. In this case, we have:

Labor force= No. of unemployed (in million) + No. of full time employed (in million) + No. of part time employed (in million) = 2 + 38 + 10 = 50 million

Unemployment rate= 2/50 × 100 = 4%

Therefore, the rate of unemployment is 4%.