Which of the Following Is the Correct Way to Calculate

question 185

Multiple Choice

Which of the following is the correct way to calculate the unemployment rate?

• A) [(unemployed)/(population)] × 100
• B) [(unemployed)/(labor force)] × 100
• C) [(labor force)/(population)] × 100
• D) [(labor force)/(unemployed)] × 100

---

Definitions:

Monopolistically Competitive

A market structure where many firms sell products that are similar but not identical, allowing for some degree of market power in setting prices.

Average Total Cost

The total cost of production divided by the number of units produced, indicating the cost per unit of output.

Marginal Cost

The additional cost incurred by producing one more unit of a product or service, an essential concept for understanding optimal production levels and pricing strategies.

Monopolistically Competitive

Pertaining to a market structure where many firms sell products that are differentiated from one another but can act as substitutes, thereby creating competition.