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Assume the following for the town of Boone: it has a total population of 40,000 people, of which 1,000 are under 16 years of age or are institutionalized; 8,000 are full-time students who are not employed and are not seeking work; and 30,000 are employed. The rest of the people are out of work but have been actively seeking work within the past four weeks.
What is Boone's unemployment rate?
Instructions: Round your answer to 1 decimal place.
Is the Federal Reserve implementing expansionary or contractionary monetary policy?
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