Menu costs are a possible reason for
A) swings in the labor force participation rate.
B) low levels of consumer confidence in response to aggregate supply shocks.
C) aggregate supply shocks.
D) sticky product prices.
Question 2
In an economy, out of 221.6 million potential workers, 180.65 million are employed. If the labor force in the economy is 200.5 million, calculate:
a. the number of unemployed workers.
b. the unemployment rate.
c. labor force participation rate
d. number of potential workers who are not a part of the labor force.