In 2009, the adult population in the U.S. was 235.8 million. Of that population, 139.9 million are employed and 14.3 million are unemployed. A) What was the unemployment rate? (3pts) B) What was the labor force participation rate? (3pts) C) Assume that 20% of unemployment in 2009 could be attributed to frictional unemployment, while another 25% of unemployment in 2009 could be attributed to structural unemployment. Using this information and the unemployment rate you calculated in part a, solve for the cyclical unemployment rate in 2009. (4pts) D) List the two potential causes of frictional unemployment and the three potential causes of structural unemployment described in class. (5pts)
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