First, calculate U: The sum of frictional, structural, and cyclical unemployment.
U = 20 + 35 + 60 =115
Discouraged workers are not counted as part of the labor force.
Second, calculate CLF: The sum of total employment and total unemployment.
CLF = 115 + 10 + 410 = 535
Underemployed workers get counted as part of the labor force.
Thrid, calculate u: U/CLF.
u = 115/535 = 0.215 = 21.5%
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