The unemployment rate is the:
A)ratio of unemployed to employed workers.
B)number of employed workers minus the number of workers who are not in the labour force.
C)percentage of the labour force which is out of work.
D)percentage of the total population which is out of work.

Question

Quizplus · Accepted Answer

The unemployment rate is calculated as a percentage of the labour force, which includes individuals who are actively seeking employment but cannot find a job. Therefore, the correct answer is C - the percentage of the labour force which is out of work. A is incorrect because it is not the ratio of unemployed to employed workers, but rather the ratio of unemployed to the labour force. B is incorrect because it subtracts individuals who are not in the labour force from the number of employed workers, which is an incorrect calculation for the unemployment rate. D is incorrect because it includes the total population, which includes individuals who may not be part of the labour force, such as children or retired individuals.

The Unemployment Rate Is The