An economy's current GDP is $100 billion, the labour force is composed of 2.2 million people, and 2 million people are employed. What is this economy's labour utilization rate?
A)0.91
B)0.2
C)0.45
D)4.4
E)0.22

Question

Quizplus · Accepted Answer

The labour utilization rate is calculated as the number of employed people divided by the total labour force. Here, it is 2 million employed divided by 2.2 million in the labour force, which equals approximately 0.91.

An Economy's Current GDP Is $100 Billion, the Labour Force