Answer:
Size of labor force = 1,996 workers
Number of unemployed workers = 172
Unemployment rate = 8.62%
Total output per week = 686,462.4 units
Labor productivity per hour = 9.65 units
Labor productivity per worker in a week = 376.35 units
Explanation:
Assuming the following missing information:
Number of workers = 2,000
Employed workers - 1,900
Hours worked per week = 40 hours
Output per labor hour = 10 units
During the recession:
Size of labor force = 2,000 - 2,000(0.2%) = 1,996 workers
Number of employed workers = 96% x 1,900 = 1,824
Number of unemployed workers = 1,996 - 1,824 = 172
Unemployment rate = (1,996 - 1,872) / 1,996 x 100 = 8.62%
Total output per week
= Number of workers x Hours worked x Output per labor hour
= 1,824 x 40(97.5%) x 10[100% - 1.4%(2.5)]
= 1,824 x 39 x 9.65
= 686,462.4 units
Labor productivity per hour = 686,462.4 / (1,824 x 39) = 9.65 units
Labor productivity per worker = 686,462.4 / 1,824 = 376.35 units
