Suppose the following data describe a nation's population:
Year 1 Year 2
Population 200 million 203 million
Labor Force 120 million 125 million
Unemployment rate 6 percent 6 percent
a. How many people are unemployed in each year?
b. How many people are employed in each year?
c. Compute the employment rate (i.e., number employed/population) each year.
d. How can the employment rate rise when the unemployment rate is constant?