Calculate the unemployment rate and the labor force participation rate in the following case: Unemployed, 10 million; adult population, 200 million; employed, 90 million. The unemployment rate is 5%, and the labor force participation rate is 55%. The unemployment rate is 5%, and the labor force participation rate is 10%. The unemployment rate is 10%, and the labor force participation rate is 50%. The unemployment rate is 50%, and the labor force participation rate is 10%.

The correct answer is The unemployment rate is 10%, and the labor force participation rate is 50%

Explanation:

According to the scenario, the given data are as follows:

Unemployed = 10 Million

Population = 200 million

Employed = 90 million

So, we can calculate the Unemployment rate and labor force participation rate by using following formula:

Unemployment rate = Unemployed ÷ ( total employed + unemployed)

Unemployment rate: 10 ÷ (90+10)

= 10%

And labor force participation rate = ( total employed + unemployed) ÷ Population

Labor force participation rate = (90+10) ÷ 200

= 50%

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