Question: how can i solve this exercise? Question 1 (Labor Force, Labor Participation Rate and Unemployment Rate - Chapter 3) In Year 1, country A has

how can i solve this exercise?

how can i solve this exercise? Question 1 (Labor Force, Labor Participation

Question 1 (Labor Force, Labor Participation Rate and Unemployment Rate - Chapter 3) In Year 1, country A has a labor force of 100, of whom 90 are employed. The remaining 50 people in the country are not in the labor force. 1) Calculate the employment ratio, the labor participation rate and unemployment rate. Over the course of the year, 10% of the employed become unemployed, while 20% of the unemployed become employed; 5% of the employed leave the labor force, while 4% of those not in the labor force become employed. The population remains unchanged. 2) Fill in the following table. (Hint: It might be helpful to draw the flow diagram before answering.) In Year 1 In Year 2 Population 150 150 Labor Force 100 Employed Unemployed 5

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