Unemployment and Inflation Rates

This document provides an analysis of unemployment and inflation rates in the country. It discusses the employment rates, inflation rates, and duration of unemployment. The data highlights the impact of these economic factors on the economy and suggests measures to address the issues.

Running head: DATA EXERCISE 1
DATA EXERCISE 2
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DATA EXERCISE 2
Part 1
Employment Rates
The summarized month is March 2019 with an employment rate of 3.8% and the number
of unemployed people at 6.2 million. The rate of unemployment of February 2019 was the same
as the current. This means that there was no difference in the number of unemployed people and
the unemployment rates in the country in the two consecutive months.
Among the major work groups in the country, unemployment rates were as follows: -
adult women (3.3%), teenagers (12.8%), whites (3.4%), Blacks (6.7%), Asians (3.1%) while
Hispanics (4.7%) (Employment Situation, 2019). In these rates, there was very little or no change
in March as compared to the previous month of February 2019. This means very little was done
on employment for the two months.
It is usually difficult to determine unemployment rates because there are individuals who
are forced to work part-time due to the reduction of their hours and hence are unable to find full-
time job placements. In this case, with the seasonal data adjustment, the part-time workers may
not be counted as unemployed when that particular counting time they are at work or employed
when during the counting time they are not working.
Unemployment is an economic problem in this case as it affects other industries that
provide a source of income to people of a country hence great loses by the government in
meeting their needs instead of investing in other sectors. These industries are also affected by
unemployment due to inadequate labor force. This leads to low productivity hence lowering a
nation’s Net Gross Domestic and its total output. Non-economic effects of unemployment
include poverty, insecurity, frustration to people, increased health problems among others. Once

DATA EXERCISE 3
unemployment occurs the major losers are the central government of the particular country to
which they belong.
In conclusion, it is important to keep monitoring and evaluating progress in key sectors
such as employment/unemployment. There are little efforts being undertaken to reduce the
unemployment rate of teenagers who hence increasing uncouth behavior in the society such as
robbery as youths struggle to earn income for their survival. High unemployment rate threatens a
nation’s security (Lorenzini & Giugni, 2011). There is also a remarkable focus on health services
in need of labor force. This reflects the number of people with health-related issues which in turn
may be emanating from the unemployment status of many. This calls for much more input to
curb and prevent this effect as the country’s economy lowers greatly in addressing the many
serious effects of people depending on them for survival due to unemployment. This data is
therefore critical as it shows where a country has been, where it is and where it is heading to in
ensuring the resilience of its people.
Part 2
The Inflation Rates
The summarized month is February 2019 with a CPI-U at 0.2% after being unchanged in
January. The inflation rate for the month was 75% (1.5/0.2*100 =75) for the previous 12 months.
This is lower compared to the 160% (1.6/0.1*100 = 160) rise in the previous month of January
(all items index).
The great price increase of the month was by food (at home and away from home) and
services less energy (services, shelter, transportation, and medical care services). On the other

DATA EXERCISE 4
hand, there were great decreases in prices in energy (commodities and services) and other
commodities less food and energy (apparel and medical care commodities).
Upon inflation, the consumers (both citizens and the government) lose. However, this
affects the government (national) economy at large.
In another comparison, shelter, transportation and medical services seem to increase
alerting people on the need for basic needs of people living in safe places, mobility, as well as
healthy lives as apparel and again medical care services, decrease meaning that some
concentration and effort has been directed to people health.
From this information, there are contradicting issues of inflation rates since some sectors
seem to be having an increase as others experience a decrease. The information seasonally
adjusted gives a very clear relationship between outcomes previously, now and help project into
the future. Food is the most alarming goods and services that are continuously increasing. This
means a lot as it points on the need to feed the population increases and healthily as energy is
continuously decreasing causing an alarming danger on energy requirement and use for
sustainable development of the country.
Part 3
Unemployment Data by Labor Force Groups and Duration
Table B-12(Source: Consumer Price Index, 2019: http://www.bls.gov/news.release/cpi.toc.htm)

DATA EXERCISE 5
MALES FEMALES
Year
16 – 19
years (%)
20 years and
above (%) Year
16 – 19
years (%)
20 years and
above (%)
2000 14.0 3.3 2000 12.1 3.6
2001 16.0 4.2 2001 13.4 4.1
2002 18.1 5.3 2002 14.9 5.1
2003 19.3 5.6 2003 15.6 5.1
2004 18.4 5.0 2004 15.5 4.9
2005 18.6 4.4 2005 14.5 4.6
2006 16.9 16.9 2006 13.8 4.1
2007 17.6 4.1 2007 13.8 4.0
2008 21.2 5.4 2008 16.2 4.9
2009 27.8 9.6 2009 20.7 7.5
2010 28.8 9.8 2010 22.8 8.0
2011 27.2 8.7 2011 21.7 7.9
2012 26.8 7.5 2012 21.1 7.3
2013 25.5 7.0 2013 20.3 6.5
2014 21.4 5.7 2014 17.7 5.6
2015 18.4 4.9 2015 15.5 4.8
2016 17.1 4.5 2016 14.3 4.4
2017 15.5 4.0 2017 12.5 4.0

DATA EXERCISE 6
2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017
0.0
5.0
10.0
15.0
20.0
25.0
30.0
35.0
A bar graph showing the unemployment rates for males
16 to19 Years 20 years and above
Year
Unemployment Rates (%)
2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017
0.0
5.0
10.0
15.0
20.0
25.0
A bar graph showing the unemployment rates for famales
16 to19 Years 20 years and above
Year
Unemployment Rtaes (%)

DATA EXERCISE 7
Table B-13 (Source: https://www.govinfo.gov/app/collection/erp)
Duration of unemployment
Year Less than 5 weeks 5–14 weeks 15–26 weeks 27 weeks and over
2000 2,558 1,815 669 649
2001 2,853 2,196 951 801
2002 2,893 2,580 1,369 1,535
2003 2,785 2,612 1,442 1,936
2004 2,696 2,382 1,293 1,779
2005 2,667 2,304 1,130 1,490
2006 2,614 2,121 1,031 1,235
2007 2,542 2,232 1,061 1,243
2008 2,932 2,804 1,427 1,761
2009 3,165 3,828 2,775 4,496
2010 2,771 3,267 2,371 6,415
2011 2,677 2,993 2,061 6,016
2012 2,644 2,866 1,859 5,136
2013 2,584 2,759 1,807 4,310
2014 2,471 2,432 1,497 3,218
2015 2,399 2,302 1,267 2,328
2016 2,362 2,226 1,158 2,005
2017 2,270 2,008 1,017 1,687

DATA EXERCISE 8
2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017
0
1,000
2,000
3,000
4,000
5,000
6,000
7,000
A bar graph showing the duration of unemployment
Less than 5 weeks 5–14 weeks 15–26 weeks 27 weeks and over
Year
No of people
The highest unemployment rate was recorded in 2010 by the two groups in both genders.
The 16 to 19 years group recorded 28.8% (males) and 22.8% (females) while the 20 years and
the above group recorded 16.9% (in 2006 for males) and 8.0% for the females. The lowest
unemployment rates were recorded in 2000 by both the groups and the two genders. The rates for
the two groups are slightly different since the group of 16 to 19 years shows the higher rates of
being unemployed compared to the 20 years and above group. This shows that the 16 to 19 years
group is facing a major challenge compared the 20 years and above group in the country.
The 2010 year had the highest unemployment duration in the country with the 27 weeks
and above recording the highest number of people followed by the rest of durations giving an
average of 4,593 people. In the year 2000 gave the lowest unemployment duration in the country
with less than 5 weeks having the highest number of persons in this year.

DATA EXERCISE 9
Studying any relationship in above data, it shows clearly that the unemployment rate is
the same as the unemployment duration across those years. This indicates that the rate of
unemployment is being accelerated by the period of the leaves given in the job market.
In the U.S population, if the proportion of teenagers and minorities will increase, then the
rate of unemployment will go up and have a negative implication in the country such as
insecurities, poverty due to high dependency ratio, etc. The government should invest more in
manufacturing and production sectors to bring in more employment opportunities which will
lead to decrease in the rate of employment in the country after the proportion increase.
In conclusion, the data should be kept for making references in future. This will give a
correct prediction for the serious issues in the economy and lead to relevant decision making in
the country. The data gives the economists humble time to study the trend in various economic
factors in the micro and macroeconomics. From the above data, the rates of unemployment and
the duration of unemployment in a country from 1974 up-to-date have been shown.

DATA EXERCISE 10
References
(n.d.). Retrieved from https://www.govinfo.gov/app/collection/erp
Consumer Price Index. (2019, March 12). Retrieved from
http://www.bls.gov/news.release/cpi.toc.htm
Employment Situation. (2019, April 05). Retrieved from
http://www.bls.gov/news.release/empsit.toc.htm
Lorenzini, J., & Giugni, M. (2011). Youth coping with unemployment: The role of social
support. Revue Suisse de Travail Social, 11(2), 80-99.