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The table gives information about the labor force in the economy of Sandy Island

ID: 2495233 • Letter: T

Question

The table gives information about the labor force in the economy of Sandy Island Calculate the unemployment rate in October 2011. Calculate the number of people unemployed, the number of people employed, and the unemployment rate at the end of November 2011. The unemployment rate in October 2011 is percent. The number of people unemployed at the end of November 2011 is__. The number of people employed at the end of November 2011 is__. The unemployment rate at the end of November 2011 is__percent.

Explanation / Answer

1 . UNEMPOLYMENT RATE = TOTAL NO. OF PERSONS EMPOLYED /TOTAL TABOR FORCE

TOTAL LABOR FORCE = EMPOLYED + UNEMPOLYED = 20000 +2000 = 22000

THEREFORE UNEMPOLYMENT RATE = 20000/22000 = 9.1

2.NUMBER OF PEOPLE UNEMPOLYED = UNEMPOLYED - LOOKING FOR JOB AND GOT JOB + GRADUATES WHO JOINED LABOR FORCE BUT ARE STILL UNEMPOLYED

= 2000 - 150 + 40 = 1890

3. NUMBER OF PEOPLE EMPOLYED AT NOVEMBER = 150

4. UNEMPOLYMENT RATE IN NOVEMBER = UNEMPOLYED IN MONTH OF NOVEMBER /TOTAL LABOR FORCE

TOTAL LABOUR FORCE = 22000 + PERSON WHO JOINED LABOUR FORCE = 22000 + 40 = 22040

TOTAL NUMBER OF PEOPLE EMPOLYED = EMPOLYED IN OCTOBER - LEFT THE JOB AND NOT LOOKED FOR JOB - RETIRED PERSONS + PERSONS WHO   GOT JOB

   = 20000 - 120 -30 + 150 = 20000

  UNEMPOLYMENT RATE IN NOVEMBER = 22040/20000 = 1.1

Unemployment occurs when a person who is actively searching for employment is unable to find work. Unemployment is often used as a measure of the health of the economy. The most frequently cited measure of unemployment is the unemployment rate. This is the number of unemployed persons divided by the number of people in the labor force.In economics, a discouraged worker is a person of legal employment age who is not actively seeking employment or who does not find employment after long-term unemployment. This is usually because an individual has given up looking or has had no success in finding a job, hence the term "discouraged".

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