(d) Calculate what the cyclical unemployment rate would be if the actual rate of unemployment increased to 5 percent. Show your work. (e) Suppose discouraged workers reenter the labor force and find employment. Will the actual rate of unemployment increase, decrease, or stay the same?

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Answer:

(d) If the actual rate of unemployment in USA increased to 5 percent, it will be 8,6% in the country nowadays.

(e)It will increase, because more people will try to find for an unoccupied position of job. Through things like trade unions, minimum wages and labor regulations, wages are pushed up so that workers become too expensive for businesses and so there are more people looking for jobs than actual jobs available.

Unemployment is termed as the situation when the people with their capability and skill fail to engage themselves in any type of job or tasks to upskill themselves.

(d) If the actual rate of unemployment in the USA increased to 5%, it will be 8,6% in the country for the present scenario.

(e) The actual rate of employment in the case of discouraged workers in the labor force will increase because of the reason that more people will try to seek fixed employment in any of the sectors of the economy.

Through the different measures like trade unions, minimum wages, and labor regulations, wages are increased in order to become too expensive for businesses and so, therefore, there are many people who are looking for employment in the economy rather than providing employments.

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