Question

Please I need response to this answer ASAP. 1. Compute the unemployment rate in each year. U-rate in Year 1 = 100 x (7.2 / 120) = 6% U-rate in Year 2 =100 x (6.7/119.5) = 5.6% 2. Compute the number of people employed in each year. People employed in Year 1 = 120 - 7.2 = 112.8 million people employed in Year 2 = 119.5 - 6.7 = 112.8 million 3. Compute the labor force participation rate in each year. Labor force participation rate in Vanr11 100 v 110010001_600

Answer 1

Yes, the numbers are correct, according to calculations. Hence, (1) to (4)
Note :

• Labor force participation = Total Employed + Total Unemployed
• Total Employed = Labor force participation - Total Unemployed
• Labor force participation rate = (Labor force participation / Total population ) * 100
• Unemployment rate = (Total Unemployed / Labor force participation ) * 100

Unemployment rate dropped from year 1 to year 2 (6 to 5.6 %), because number of unemployed decreased.
Labor force participation dropped by 500,000 from year 1 to year 2, hence, the labor force participation rate also dropped from year 1 to year 2. This happened because the number of unemployed decreased, hence the number of employed remained the same.