By definition, the labor force participation rate is
A) the percentage of institutionalized working-age individuals who are employed or seeking employment.
B) the percentage of noninstitutionalize d working-age individuals who are employed or seeking employment.
C) the annual rate of growth in the number of people who are either employed or searching for available jobs.
D) the annual rate of growth in the number of people who are unemployed and searching for available government-provided unemployment benefits.
Question 2
Assume that Mr. Smith's income increased from 40,000 last year to 45,000 this year and that he paid an additional 2,000 in taxes. This would indicate that his marginal tax rate is
A) 10 percent.
B) 25 percent.
C) 30 percent.
D) 40 percent.
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