.2. Unemployment Suppose the following is a complete description of the adult population of the economy:
a. ___ 10 are retired
b. ___ 5 people are in the military
c. ___ 5 people are in prison
d. ___ 15 people are stay-at-home parents
e. ___ 5 are students that work part time
f. ___ 5 are students that do not work
g. ___ 15 work in 1 part time job
h. ___ 5 work in 2 part time jobs
i. ___ 20 work full time in 1 job
j. ___ 5 work 1 full time job and 1 part time job
k. ___ 5 have no job and are applying for jobs
l. ___ 5 have a job, and are applying for a second job
In the blanks above, write "E" for employed or "U" for unemployed for each group. If they are neither, write "N".
b) How many are counted as employed? __________________________
c) How many are counted as unemployed? __________________________
d) What is the unemployment rate? ________________________
e) What is the labor force participation rate? _________________________
f) How is the unemployment rate affected by each of the following?
i. Some of the people looking for work give up looking. ___________
ii. Some of the full-time workers are reduced to part time work. ___________
iii. Some of the workers who work 2 jobs lose one of them. ___________
iv. Some people who work full time decide to retire. ___________