Suppose some country had an adult population of about 50 million, a labor-force participation rate of 60 percent, and an unemployment rate of 5 percent. How many people were unemployed?

Question

Quizplus · Accepted Answer

The labor-force participation rate is the percentage of the adult population that is working or actively seeking work. In this case, 60 percent of the adult population is in the labor force, which means there are 30 million people in the labor force (50 million x 0.6 = 30 million).

The unemployment rate is the percentage of the labor force that is unemployed. In this case, the unemployment rate is 5 percent, which means that 5 percent of the 30 million people in the labor force are unemployed.

Calculating this, we get: 0.05 x 30 million = 1.5 million.

Therefore, the answer is B) 1.5 million.

Suppose Some Country Had an Adult Population of About 50