Neco Model Questions Vol1 2024 Economics Question 35

Practice objective / multiple choice question 35 from the 2024 Neco Model Questions Vol1 Economics examination.

Neco Model Questions Vol1 2024 Economics Objective / Multiple Choice Medium Difficulty
Question 35 NECO_MODEL_QUESTIONS_VOL1 • 2024 • ECONOMICS • objective

In Econland the labour force is 12 million and the natural rate of unemployment is 5 %. A recession raises cyclical unemployment to twice the natural rate. The government launches a job‑creation programme that reduces cyclical unemployment by 1.5 percentage points. What is the new overall unemployment rate (as a percent) and how many people are employed after the programme (in millions, to two decimal places)?

Answer Options

A. Unemployment rate = 14.85 %; Employed = 10.22 million
B. Unemployment rate = 13.5 %; Employed = 10.5 million
Correct Answer C. Unemployment rate = 13.5 %; Employed = 10.38 million
D. Unemployment rate = 8.5 %; Employed = 10.98 million
Correct Answer
C
Correct Option:
Unemployment rate = 13.5 %; Employed = 10.38 million

About This Question

This is Neco Model Questions Vol1 2024 Economics Question 35. It is one of the objective questions from the 2024 Neco Model Questions Vol1 Economics examination.

Difficulty level: Medium .

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