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17 June, 10:49

The bureau of labor statistics reported that in june 2004 , the labor force was 149.2 million, employment was 140.7 million, and the working-age population was 223.4 million. calculate the unemployment rate and the labor force participation rate for that month.

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  1. 17 June, 11:12
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    Unemployment rate = 5.697%

    Labor force participation rate = 66.786%

    Explanation:

    Given:

    Labor force = 149.2 million

    Number of employment = 140.7 million

    Working-age population = 223.4 million

    Unemployment rate = ?

    Labor force participation rate = ?

    Computation of Number of Unemployed:

    Number of Unemployed = Labor force - Number of employment

    Number of Unemployed = 149.2 million - 140.7 million

    Number of Unemployed = 8.5 million

    Computation of Unemployment rate:

    Unemployment rate = 8.5 million / 149.2 million

    Unemployment rate = 5.697%

    Labor force participation rate = number in labor force / adult population

    Labor force participation rate = 149.2/223.4 = 0.66786

    Labor force participation rate = 66.786%
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