Question

In​ March, 2006 the labor department of the country of Jobland determined that the size of the labor force was

105

million out of which

92

million were employed. In May​ 2006, the labor department determined that

1.0

million people became​ "discouraged workers" in April.

Assuming that no new jobs were created between March and​ April, calculate the unemployment rate for March and April.

Jobland unemployment rate in March​ =

nothing

percent.

​(Enter

your response rounded to one decimal​ place.)

Jobland unemployment rate in April​ =  

nothing

percent.

​(Enter

your response rounded to one decimal​ place.)

Answer 1

The labour force of jobland was 105 million in March 2006,

The number of employed people in March 2006 are 92 million.

The labour force of a country is given as:

Labour force= number of employed+ number of unemployed

Number of unemployed= 105- 92= 13 million

The unemployemnt rate is the percentage of the labour force that is unemployed. It is caluclated b the formula

(Number of unemployed/ labour force) *100

= (13/105) *100= 12.38%

In the month of April it was found that 1 million people became discuraged workers. Thus they are not a part of the labour force anymore.

The labour force mow becomes( 105-1)= 104 million

The new unemployment rate becomes= (13/104) *100= 12.5%