Which of the following is the correct formula for determining the civilian unemployment rate?
A) [(the number of unemployed, working-age civilian seeking work)/(the number of civilian in the labor force)] x 100.
B) C + I + G + (X − M).
C) The total number of unemployed, working-age civilians seeking work.
D) (The number of civilian in the labor force) x 100.

Question

Quizplus · Accepted Answer

The civilian unemployment rate is determined by dividing the number of unemployed, working-age civilians seeking work by the number of civilians in the labor force, and then multiplying the result by 100 to express it as a percentage. Therefore, formula A [(the number of unemployed, working-age civilian seeking work)/(the number of civilian in the labor force)] x 100 is the correct formula for determining the civilian unemployment rate. Choice B is the formula for calculating GDP, choice C only provides the number of unemployed working-age civilians, and choice D is missing the division by the number of civilians in the labor force.

Which of the Following Is the Correct Formula for Determining