Answer:
Total number of unemployed (March)= 12,256,000
Explanation:
Giving the following information:
Total labor force= 120 million
Unemployed people (January)= 10 million
Each month, 2% of the workers who are employed at the beginning of the month lose their job, and 10% of the workers who are unemployed at the beginning of the month find a job.
<u>First, we will calculate the unemployed and employed people for February:</u>
New Unemployed= 110,000,000*0.02= 2,200,000
New employed= 10,000,000*0.1= 1,000,000
Total number of unemployed= 10,000,000 + 2,200,000 - 1,000,000= 11,200,000
Total number of employed= 110,000,000 + 1,000,000 - 2,200,000= 108,800,000
<u>Now, for March:</u>
New Unemployed= 108,800,000*0.02= 2,176,000
New employed= 11,200,000*0.1= 1,120,000
Total number of unemployed= 11,200,000 + 2,176,000 - 1,120,000= 12,256,000
Total number of employed= 108,800,000 + 1,120,000 - 2,176,000= 107,744,000
