Questions: The table gives information about the labor market in October and November 2021 in the economy of Sandy Island. Calculate for October 2021 a. The unemployment rate. b. The employment-to-population ratio. And calculate for the end of November 2021 c. The number of people unemployed. d. The number of people employed. e. The unemployment rate. Answer to 1 decimal place. In October 2021: The unemployment rate is percent. Labor Market Data Number In October 2021 Employed 18,000 Unemployed 3,000 Not in labor force 3,000 During November 2021 Lost jobs and didn't look for new jobs 120 Quit jobs and retired 10 Unemployed who were hired 150 Unlucky job searchers left the labor force 40 Entered the labor force to look for work 30

To solve the given questions, we need to use the provided labor market data for October and November 2021 on Sandy Island.

a. The unemployment rate:

The unemployment rate is calculated using the formula:

\[ \text{Unemployment Rate} = \left( \frac{\text{Number of Unemployed}}{\text{Labor Force}} \right) \times 100 \]

First, calculate the labor force:

\[ \text{Labor Force} = \text{Employed} + \text{Unemployed} = 18,000 + 3,000 = 21,000 \]

Now, calculate the unemployment rate:

\[ \text{Unemployment Rate} = \left( \frac{3,000}{21,000} \right) \times 100 = 14.3\% \]

b. The employment-to-population ratio:

The employment-to-population ratio is calculated using the formula:

\[ \text{Employment-to-Population Ratio} = \left( \frac{\text{Number of Employed}}{\text{Working Age Population}} \right) \times 100 \]

The working-age population is the sum of the labor force and those not in the labor force:

\[ \text{Working Age Population} = \text{Labor Force} + \text{Not in Labor Force} = 21,000 + 3,000 = 24,000 \]

Now, calculate the employment-to-population ratio:

\[ \text{Employment-to-Population Ratio} = \left( \frac{18,000}{24,000} \right) \times 100 = 75.0\% \]

c. The number of people unemployed:

Start with the number of unemployed in October and adjust for changes in November:

• Unemployed in October: 3,000
• Unemployed who were hired: -150
• Unlucky job searchers left the labor force: -40
• Entered the labor force to look for work: +30

Calculate the number of unemployed at the end of November:

\[ \text{Unemployed in November} = 3,000 - 150 - 40 + 30 = 2,840 \]

d. The number of people employed:

Start with the number of employed in October and adjust for changes in November:

• Employed in October: 18,000
• Lost jobs and didn't look for new jobs: -120
• Quit jobs and retired: -10
• Unemployed who were hired: +150

Calculate the number of employed at the end of November:

\[ \text{Employed in November} = 18,000 - 120 - 10 + 150 = 18,020 \]

e. The unemployment rate:

First, calculate the labor force at the end of November:

• Labor force in October: 21,000
• Unlucky job searchers left the labor force: -40
• Entered the labor force to look for work: +30

\[ \text{Labor Force in November} = 21,000 - 40 + 30 = 20,990 \]

Now, calculate the unemployment rate for November:

\[ \text{Unemployment Rate in November} = \left( \frac{2,840}{20,990} \right) \times 100 \approx 13.5\% \]

• October 2021:
  • Unemployment Rate: 14.3%
  • Employment-to-Population Ratio: 75.0%
• November 2021:
  • Number of Unemployed: 2,840
  • Number of Employed: 18,020
  • Unemployment Rate: 13.5%