The unemployment rate equals the number of people
A) unemployed.
B) unemployed divided by the number employed.
C) unemployed divided by the labour force.
D) unemployed plus discouraged workers divided by the labour force.
E) unemployed plus discouraged workers divided by the number employed.

Question

Quizplus · Accepted Answer

The unemployment rate is calculated by dividing the number of people who are unemployed by the total labour force, which includes both employed and unemployed individuals. Therefore, option C "unemployed divided by the labour force" is the correct answer.

The Unemployment Rate Equals the Number of People