What factors make it difficult to determine the unemployment rate?
It is difficult to determine the unemployment rate because of the presence of the part-time employed workers and discouraged workers.Click to see full answer. Likewise, people ask, what determines the unemployment rate?The unemployment rate is the percentage of unemployment calculated by dividing the number of unemployed individuals by the number of individuals currently employed in…
It is difficult to determine the unemployment rate because of the presence of the part-time employed workers and discouraged workers.Click to see full answer. Likewise, people ask, what determines the unemployment rate?The unemployment rate is the percentage of unemployment calculated by dividing the number of unemployed individuals by the number of individuals currently employed in the labor force.One may also ask, why the unemployment rate is not accurate? Another problem with the unemployment rate is that it cannot be used to accurately compare unemployment levels from different years. Unfortunately, this often means that the true percentage of people who don’t have jobs or aren’t making enough money is often worse than the official unemployment rate suggests. Also know, what are the problems in measuring the unemployment rate? Another problem with the official unemployment rate is that it doesn’t consider the quality of jobs that workers have. People are considered employed if they have part-time or temporary jobs. They’re also counted as being employed if they have low-skilled jobs that they took just to put food on the table.Who is not counted in the unemployment rate?Someone who does not have a job but claims he is not looking for one is considered out of the labor force and is not counted in the unemployment rate. For example, suppose that during a given month, the BLS gathers information on a total of 100,000 people from the 60,000 survey households.
