Question

Suppose the working-age population of a fictional economy falls into the following categories: 90 are retired or homemakers; 60 have full-time employment; 20 have part-time employment; 20 do not have employment, but are actively looking for employment; and 10 would like employment but do not have employment and are not actively looking for employment. The official unemployment rate as calculated by the U.S. Bureau of Labor would equal Group of answer choices (20/80) × 100. (30/80) × 100. (20/100) × 100. (20/60) × 100.

Answer 1

The correct answer is C.

Step-by-step explanation:

Giving the following information:

90 are retired or homemakers; 60 have full-time employment; 20 have part-time employment; 20 do not have employment, but are actively looking for employment; and 10 would like employment but do not have employment and are not actively looking for employment.

Total labor force= 60 + 20 + 20= 100

Unemployed= 20

Unemployment rate= (20/100)*100= 20%