Assume That the Total Labor Force Is 100 Individuals with 10

Multiple Choice

Assume that the total labor force is 100 individuals with 10 unemployed. The unemployment rate is____________ . Now assume that 10 people drop out of the labor force and that 10 remain unemployed. The new unemployment rate is __________.

A) 10 percent, 9 percent
B) 11 percent, 10 percent
C) 10 percent, 11 percent
D) 9 percent, 10 percent