Find the size of the civilian labor force from the following data: frictional unemployment = 150, structural unemployment = 200, cyclical unemployment = 225, discouraged workers = 25, underemployed workers = 75, fully employed workers = 850, total population = 2,000.
A) 1,425
B) 1,450
C) 1,500
D) 1,525
E) 2,000

Question

Quizplus · Accepted Answer

The civilian labor force is the sum of all employed and unemployed individuals. To calculate it, we need to add together the fully employed workers (850) and the frictional unemployment (150), structural unemployment (200), cyclical unemployment (225), discouraged workers (25), and underemployed workers (75). 
Civilian labor force = 850 + 150 + 200 + 225 + 25 + 75 
Civilian labor force = 1,525 
Therefore, the correct answer is C) 1,500, which is the sum of all individuals who are currently employed or are looking for employment (i.e., not including discouraged workers).

Find the Size of the Civilian Labor Force from the Following