Ask Question
BusinessBusiness
27 June, 19:13

Some persons are counted as out of the labor force because they have made no serious or recent effort to look for work. However, some of these individuals may want to work even though they are too discouraged to make a serious effort to look for work. If these individuals were counted as unemployed instead of out of the labor force, then

a. both the unemployment rate and labor-force participation rate would be higher.

b. the unemployment rate would be higher, and the labor-force participation rate would be lower.

c. the unemployment rate would be lower, and the labor-force participation rate would be higher.

d. both the unemployment rate and labor-force participation rate would be lower.

+4
Answers (1)
  1. 27 June, 19:56
    0
    The correct answer is A: both the unemployment rate and labor-force participation rate would be higher.

    Explanation:

    The unemployment rate is the share of the labor force that is jobless, expressed as a percentage. To calculate the unemployment rate, the number of unemployed people is divided by the number of people in the labor force, which consists of all employed and unemployed people. It defines unemployed people as those who are willing and available to work, and who have actively sought work.

    By increasing the number of people unemployed, the number of employed people is now divided by a larger base. Meaning that the unemployment rate increases.

    The labor force participation rate measures an economy's active labor force and is the sum of all employed workers divided by the working-age population. It refers to the number of people who are either employed or are actively looking for work. The number of people who are no longer actively searching for work would not be included in the participation rate.

    By increasing the number of people of unemployed people, they will be considered as people that are actively looking for work. Meaning that labor force participation increases.
Know the Answer?
Not Sure About the Answer?
Find an answer to your question ✅ “Some persons are counted as out of the labor force because they have made no serious or recent effort to look for work. However, some of ...” in 📘 Business if you're in doubt about the correctness of the answers or there's no answer, then try to use the smart search and find answers to the similar questions.
Search for Other Answers
You Might be Interested in
Managing and sustaining product diversity requires many more overhead resources such as production schedulers and product design engineers. The costs of these resources have no obvious connection with direct labor. Ture or False
Answers (1)
In an FRA, the buyer agrees to pay the seller A. the increased interest cost on a notional amount if interest rates fall below an agreement rate. B. Not Sure C. the increased interest cost if interest rates increase above the agreement rate D.
Answers (1)
The direct write-off method A) is acceptable for financial reporting purposes. B) debits Allowance for Doubtful Accounts to record write-offs of accounts. C) estimates bad debt losses.
Answers (1)
A buyer signs an earnest money agreement and gives it to the broker who showed her the property she is buying. After leaving the broker's office, she reconsiders and decides she prefers a different property.
Answers (1)
Carolina is trying to sell her car, and the lowest amount she is willing to accept is $2,000. Abdul is interested in buying the car, and although he is willing to pay $2,500, he negotiates a price of $2,100.
Answers (2)
New Questions in Business
Digg Co. installs a manufacturing machine in its factory at the beginning of the year at a cost of $36,000. The machine's useful life is estimated at 10 years, or 300,000 units of product, with a $6,000 salvage value.
Answers (1)
Which of the following actions will likely cause a project to fail? A) dedicating valuable team member time to identify risk events B) spending project funding to procure needed tools and spare parts C) unclear or conflicting stakeholder
Answers (1)
Mcgregor company allows customers to pay with credit cards. the credit card company charges mcgregor 2% of the sale. when a customer uses a credit card to pay mcgregor $300 for services provided, mcgregor would:
Answers (1)
Net worth is the difference between a firm's assets and its liabilities. a. True b. False
Answers (1)
Buyer Jim agreed to a 20-day window to get a survey done. A number of problems have occurred and after 20 days from the signed contract date, buyer Jim has yet to have a survey completed. What is now the status of the sales contract? a.
Answers (1)
Home » Business » Some persons are counted as out of the labor force because they have made no serious or recent effort to look for work.
Sign Up Forgot Password?