What would happen to the unemployment rate if everyone who has looked for a job for more than six months gives up in despair and stops looking?
A)It would fall.
B)It would increase.
C)It would not change.
D)It would change, but the effect cannot be predicted.

Question

Quizplus · Accepted Answer

When individuals stop looking for work, they are no longer counted as part of the labor force, which can lead to a decrease in the unemployment rate as the number of unemployed individuals decreases.

What Would Happen to the Unemployment Rate If Everyone Who