The labor-force participation rate shows the percentage of
A) people not working, but who want to work.
B) people who are not actively participating in meaningful economic activity.
C) new entrants into the labor force.
D) non-institutionalized working-age people who are actually working or seeking employment.

Question

Quizplus · Accepted Answer

The labor-force participation rate measures the percentage of non-institutionalized working-age people who are actually working or actively seeking employment (i.e., those who are participating in the labor force). Option A refers only to those who want to work but are not working. Option B is too broad and generic, and option C refers only to those entering the labor force, rather than those already in it.

The Labor-Force Participation Rate Shows the Percentage of