Suppose an individual works 12 hours per week in a family business and is not looking for other work. Also assume that the individual is not paid for the 12 hours of work. According to the Bureau of Labor Statistics, this individual would be classified as:
A) not in the labor force.
B) a discouraged worker.
C) employed.
D) none of the above

Question

Quizplus · Accepted Answer

According to the Bureau of Labor Statistics, in order to be counted as employed, an individual must have worked for pay during the reference week. Since the individual in this scenario is not being paid for the 12 hours of work, they do not meet the criteria for being classified as employed. Additionally, since they are not actively seeking other employment, they would not be classified as a discouraged worker. Thus, the best classification for this individual would be "not in the labor force."

Suppose an Individual Works 12 Hours Per Week in a Family