Homework Ch 15 2 Discouraged workers Which of the following

Homework (Ch 15) 2. Discouraged workers Which of the following statements correctly describe discouraged workers? (If none of the choices apply, leave all of the checkboxes blank.) Check all that apply. They have not looked for a job in 4 weeks (or longer), but they would like a job and are available for work They are employed workers who want to earn higher wages. They have given up on looking for a job. They are dissatisfied with their current jobs and are considering quitting. The following table contains U.S. employment information from January 2011. Civilian Population (Persons 16 years old and over) 238,704,000 Employed Unemployed Discouraged (Persons) 139,323,000 13,863,000993,000 (Persons) (Persons)

Solution

Ans

Discouraged worker is th individual of eligible age who has given up looking for a job or not seeking for a job after a long period of unemployment

Hence Option C is correct response

Ans

Official Unemployment Rate=Unemployed/Labor Force=13,863,000/238,704,000=13863/238704*100=5.807%

U-4 measure of labor underutilisation= (Unemployed+Discouraged)/(Labor Force+Discouraged)

=(13863000+993000)/(238704000+993000)=6.197%

Discouraged individuals are included then official unemployment rate will be 6.197%