If the population is 300 million, with 70 million under the age of 16 and institutionalized, another 70 million not in the labor force, 10 million unemployed and 150 million employed, the labor force participation rate is
A) 6.67 percent.
B) 50 percent.
C) 69.6 percent.
D) 23.3 percent.

Question

Quizplus · Accepted Answer

To calculate the labor force participation rate, we need to subtract those not in the labor force (70 million) and those institutionalized (70 million) from the total population (300 million):

300 million - 70 million (not in labor force) - 70 million (institutionalized) = 160 million in the labor force

The unemployment rate is calculated by dividing the number of unemployed by the labor force:

10 million unemployed / 160 million in the labor force = 0.0625

Finally, to calculate the labor force participation rate, we divide the number in the labor force by the total population:

160 million in the labor force / 230 million (those over the age of 16 and not institutionalized) = 0.6965 or 69.65%

Therefore, the correct answer is C.

If the Population Is 300 Million, with 70 Million Under