Chapter 14.1, Problem 14.10ACI

Employment in farm and nonfarm categories. Civilian employment is broadly classified by the federal government into two categories—agricultural and nonagricultural. Employment figures (in thousands of workers) for farm and nonfarm categories for selected years from 1980 to 2015 are given in the table below

a. Compute simple indexes for each of the two time series using 1980 as the base period.

b. Which segment has shown the greater percentage change in employme1t over the period shown?

c. Compute a simple composite index for total employment for the years 1980-2015. Use 1980 as a base period.

d. Refer to part c. Interpret the composite index value for 2010.