Suppose u = those adults who are unemployed and seeking work; e = those adults who are employed; and NLF = those adults not in the labor force. Which expression would equal the BLS definition of the unemployment rate?
A) u / (e + NLF)
B) u / e
C) u / (u + e)
D) u / (e + NLF).
E) u / (u + e − NLF)

Question

Quizplus · Accepted Answer

The unemployment rate is calculated as the number of unemployed individuals (u) divided by the total labor force, which is the sum of employed (e) and unemployed (u) individuals. Thus, the correct expression is u / (u + e).

Suppose U = Those Adults Who Are Unemployed and Seeking