16. “For example, the jobless rate fell to 5% last month, the lowest number in 2 years. But if you think it’s a sign that the economy is suddenly moving up, look again.”A fall in the unemployment rate...

16. “For example, the jobless rate fell to 5% last month, the lowest number in 2 years. But if you think it’s a sign that the economy is suddenly moving up, look again.”A fall in the unemployment rate may not be a sign that the economy is moving up because ofa) more part-time jobs b) more former homemakers workingc) a rise in the number of encouraged workersd) a rise in the number of discouraged workers17. Suppose the labor force is 15 million, the participation rate is 75% and unemployment is 10%. If the number of discouraged workers increases by 1 million, thena) unemployment falls to 9% b) unemployment rises to 11%c) the participation rate falls to 70% d) the participation rate rises to 80% 1018. If the participation rate is 75%, the unemployment rate is 10%, and the labour force is 20 million, then the number of people unemployed isa) 1 million b) 1.5 million c) 2 million d) not enough information to tell