Question 1 Your firm is currently formulating its corporate strategy which is strongly dependent on key macroeconomic variables including employment levels and consumer wages. The Planning Institute of Jamaica (PIOJ) presented its unemployment forecast. The PIOJ forecasts that the economy will have one of four states: Strong, Good, Average, and Weak. The PIOJ estimates the probably employment outcomes as follows: State of the economy Probability Unemployment level Strong 0.15 3% Good 0.45 5% Average 0.30 9% Weak 0.10 15% a) Find the expected level of employment using the PIOJ forecast. [4 marks] b) What is the standard deviation of the unemployment rate? [8 marks]