Consider a country with 300 million residents, a labor force of 150 million, and 10 million unemployed. Answer the following questions. If 5 million of the unemployed become discouraged and stop looking for work, what is the new unemployment rate? Suppose instead that 30 million jobs are created, attracting 20 million new people into the labor force. What would be the new rates for labor force participation and unemployment?
Consider a country with 300 million residents, a labor force of 150 million, and 10 million unemployed. Answer the following questions. If 5 million of the unemployed become discouraged and stop looking for work, what is the new unemployment rate? Suppose instead that 30 million jobs are created, attracting 20 million new people into the labor force. What would be the new rates for labor force participation and unemployment?
Chapter6: Macroeconomic Measurements, Part I: Prices And Unemployment
Section: Chapter Questions
Problem 7WNG
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Consider a country with 300 million residents, a labor force of 150 million, and 10 million unemployed. Answer the following questions.
If 5 million of the unemployed become discouraged and stop looking for work, what is the new
Suppose instead that 30 million jobs are created, attracting 20 million new people into the labor force. What would be the new rates for labor force participation and unemployment?
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