Question

Use the table below for questions 1-8

Total Count for 2013 (in millions)

Population	175
Non-Working Age Population	50
Working Age Population	125
Non-Labor Force
Labor Force
Employed	75
Unemployed	5
Frictional Unemployment	2
Structural Unemployment	4

1. What is the total count for individuals in the labor force?

2. What is the total count for individuals in the non-labor force?

3. What Is the employment rate?

4. What the labor force participation rate?

5. What is the unemployment rate?

6. What is the natural rate of unemployment rate?

7. What is the cynical unemployment rate?

8. is the economy in a contractionary or expansionary state?

Answer 1

1.

LF=Employed + unemployed + Frictional Unemployment+ Structural Unemployment

=75+5+2+4

=86 millions

Total count for individuals in the labor force.

2.

The total count for individuals in the non-labor force= non-working age population – (working age population – LF)

=50+(125-86)

=50+39

=89 millions

3.

Number of employed= 5

employment rate= (employed / LF)*100

=(75/86)*100

=87.20%

4.

Labor force participation rate= (LF/ working age population)*100

=(86/ 125)100

=68.8%