Consider an economy made up of 100 people, 60 of whom hold jobs, 10 of whom are looking for work, and 15 of whom are retired. The number of unemployed persons is . a. 15 b. 10 c. 90 d. 40 e. 30

The number of unemployed persons is 15 if we assume the person who are looking for work are NOT “unemployed”

The number of unemployed persons is 25 if we understand “looking for work” is “unemployed currently”

Explanation:

If we assume the person who are looking for work are NOT “unemployed” then:  

Total 100 people  = 60 of whom hold jobs + and 15 of whom are retired + 10 of whom are looking for work  + unemployed persons  

⇒ unemployed persons = 100 – 60  - 15 – 10 = 15

However, it’s better to understand “looking for work” is “unemployed currently”, then  

Total 100 people  = 60 of whom hold jobs + and 15 of whom are retired + unemployed persons (including whom looking for work)

⇒ unemployed persons = 100 – 60  - 15 = 25

10

Explanation:

The total number of people that make up the economy is 100

60 people are employed

10 people are unemployed

15 people are retired and out of the labor force

Therefore the number of unemployed persons is 10

the answer is d

explanation:

the answer is d

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