In a macroeconomy where textile and information technology are among the major industries, the natural rate of unemployment is 4%. Although workers prefer full-time jobs, all industries have a combination of full-time and part-
time (underemployed) workers.
In 2010, the total population was 14 million with an adult population of 12.2 million, and real output for the year was $350 billion. In the same year, 7.6 million people were employed, 1.5 million people were part-time workers, and
400,000 people were unemployed. Furthermore 300,000 individuals stated that they were discouraged from searching for a job.
(Question 4 of 7)
Now, consider that at the beginning of 2011, the government implemented a five-year economic growth plan - a set of policies aimed at encouraging foreign investment in the information technology industry. The shift towards the
information technology industry impacted the labor market. In addition, initial spillover effect from these investments includes changes in the nation's infrastructure, population (migration) and worker productivity (human capital
changes included).
In 2015 (at the end of five years), the total populatiom was 16.9 million with an adult population of 14.5 million, and real output was $420 billion. In the same year, 8.2 million people were employed, 2 million were part-time workers,
and 560,000 people were unemployed. Furthermore, 600,000 stated that they were discouraged from searching for a job.
What was the labor productivity in 2015? (report your answer up to 2 decimal places)
