Labor force participation rate 60%, Population (assume everyone is over 16 years of age, civilian, non-institutionalized in this economy) 150 million, Unemployment rate=5% Calculate the number of people unemployed

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Chapter6: Macroeconomic Measurements, Part I: Prices And Unemployment
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Labor force participation rate 60%, Population (assume everyone is over 16 years of age, civilian, non-institutionalized in this economy) 150 million, Unemployment rate=5%

Calculate the number of people unemployed

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Step 1

Unemployment rate: - it is the percentage of people out of the total labor force who are able and looking for a job but did not get one.

Labor force participation=Labor forceWorking age population×100Unemployment rate=Number of unemployed personLabor force×100Labor force=Number of unemployed person+Number of employed person

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