The rate of unemployment is found by
A) dividing the number unemployed by the number of people in the labor force.
B) dividing the number unemployed by the number employed.
C) dividing the number employed by the number of people in the labor force.
D) dividing the number employed by the number unemployed.

Question

Quizplus · Accepted Answer

The rate of unemployment is calculated by dividing the number of unemployed individuals by the total number of individuals in the labor force (which includes both employed and unemployed individuals). Therefore, option A is the correct choice. Option B is incorrect because it divides the number of unemployed individuals by the number of employed individuals instead of the total labor force. Option C is incorrect because it divides the number of employed individuals by the total labor force instead of the number of unemployed individuals. Option D is incorrect because it divides the number of employed individuals by the number of unemployed individuals, which doesn't provide an accurate representation of unemployment rates.

The Rate of Unemployment Is Found by