Question

If the unemployment rate is 5.8 percent and the number of unemployed persons is 15 million, the number of people who are employed is approximately



Answer : 244 million

Answer 1

Answer:

$Employed =244\ million$

Explanation:

Given:

$Unemployment\ Rate = 5.8\%$

$Unemployed = 15\ million$

Required

Determine the number of employed persons.

First, we need to determine the labor force.

This is done as follows.

$Unemployment\ Rate = \frac{Unemployed}{Labor\ Rate}$

Substitute values for. Unemployment Rate and Unemployed

$5.8\% = \frac{15\ million}{Labor\ Rate}$

Solve for Labor Rate

$Labor\ Rate = \frac{15\ million}{5.8\%}$

$Labor\ Rate = 259\ million$

So, we have the labor rate to be.

$Labor\ Rate = 259\ million$

Next, we calculate the employed people as follows

$Employed = Labor\ Rate - Unemployed$

$Employed = 259\ million - 15\ million$

$Employed =244\ million$