Help in MCQ question Nov 2006 Paper 1 Q23

[arvind0708]

23 The data in the table are taken from a country’s labour market statistics.
millions
adult population 100
number of persons in employment 45
number of persons unemployed 5
What is the unemployment rate and the participation rate?
unemployment rate
%
participation rate
%
A 5 45
B 10 50
C 10 45
D 5 50

 

[Xenon]

The unemployment rate refers to the number unemployed to the labour force, while the participation ratio concerns the proportion of population which is economically active.
labour force = no.of persons employed + no. of persons unemployed
= 45 +5 = 50
% unemplyd = (5/50)%=10%
% participation = (5+45)/100 = 50%
ans:B