An economy has 100,000 residents. There are 46,000 people with full-time jobs, 14,000 people with part-time jobs, and 4,000 unemployed people who are actively looking for work. The unemployment rate for this economy is 6.3%.

Question

Quizplus · Accepted Answer

The unemployment rate is calculated as the number of unemployed people divided by the total labor force (the number of people with full-time jobs, part-time jobs, and unemployed people who are actively looking for work). In this case, the unemployment rate is 4,000 / (46,000 + 14,000 + 4,000) = 6.3%.

An Economy Has 100,000 Residents