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Jana is a country with a working age population of 32 million people. Of that number, 25 million are employed, 5 million are unemployed but
Jana is a country with a working age population of 32 million people. Of that number, 25 million are employed, 5 million are unemployed but actively looking for work, and 2 million are discouraged workers.
a) If the economy enters an expansionary phase and half the discouraged workers begin looking for work, what effect will this have on the participation rate and the unemployment rate? Explain. please support ans with calculation.
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