Unemployment Definitions & Basics
Unemployment Rate
Types of Unemployment
Unemployment Statistics
Consequences of Unemployment
100
The definition of unemployment is...
What are people in the labor force who are actively looking for jobs, but cannot find any?
100
The number of unemployed people divided by the people in the labor force is the formula for this.
What is the unemployment rate?
100
The amount of types of unemployment is...
What is 5 types? (Frictional, structural, cyclical, seasonal, institutional)
100
The percentage 4.2% measures...
What is the current unemployment rate in the U.S.?
100
A high unemployment rate does this to supply and demand.
What is demand shifts left due to less spending?
200
The labor force is made up of...
What are employed and unemployed workers?
200
This agency conducts a monthly survey which is used to determine unemployment rates by state, urban and rural areas, gender, age, ethnicity, and level of education.
What is the U.S. Bureau of the Census?
200
Frictional unemployment is when...
What is when an individual or worker moves from one job to another attempting to find their ideal job?
200
Is it possible to have a 0% unemployment rate?
What is no, because all types of unemployment would have to disappear for it to be 0%, and that's simply unrealistic?
200
Ella has just graduated with an economics degree. She is entering a difficult labor market, due to a severe recession. She is continuing to look for work but is having a hard time getting interviews. She is facing this type of unemployment.
What is cyclical unemployment, due to a recession?
300
People who fall under these descriptions are not included in the labor force. (Image source: The U.S. Bureau of Labor Statistics)
Who are people who are not performing paid work, and not actively looking for a job?
300
Anyone who worked at least one hour in a week in paid employment or at their own business was temporarily absent from their job or business, or worked at least 15 hours without pay in a business owned by a member of their family.
What is “employed” for the purpose of the unemployment rate?
300
When shifts in the economy create a mismatch between the skills individuals or workers have and the skills needed by employers, this results in...
What is structural unemployment?
300
This U.S. state has the lowest unemployment rate.
What is South Dakota?
300
The social effects of unemployment are...
What are protests and rising crime rates?
400
The labor force participation rate is...
What is the percentage of adults in an economy who are either employed, or unemployed and looking for a job?
400
The unemployment rate can be a __________ statistic because: (1) Some people who are discouraged from looking for work are not counted as being in the labor force, (2) some people who say they are looking for work may not be looking very hard for work, (3) people who are only employed part time may be counted as being employed whereas they are not fully employed, and (4) some people are working “under the table” and thus may be counted as unemployed or out of the labor force, whereas they are actually employed.
What is “misleading”?
400
A type of economic downturn that occurs because of the restrictions of demand on the market, usually caused by recessions or depressions, results in this kind of unemployment.
What is cyclical unemployment?
400
A "good" unemployment rate would range from...
What is 3% and 5%?
400
Due to the 2008 financial crisis, the unemployment rate in the months after the recession in 2009 was...
What is 10%?