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Question
question 22 (2 points)
discouraged workers
would decrease the unemployment rate if they were added to the number of
unemployed workers.
would increase unemployment rate if they were added to the number of
unemployed workers.
are counted as one - half of a worker in the unemployment statistics.
are counted as unemployed workers when the unemployment rate is calculated.
are not included in the calculation of the unemployment rate, the labor force, or
the working - age population.
Discouraged workers are those who have given up looking for work. The unemployment rate formula is \(\frac{\text{Unemployed}}{\text{Labor Force}}\times100\). If discouraged workers (who are currently not in the labor force) are added to the unemployed (numerator increases) and also to the labor force (denominator increases). Since the percentage increase in the numerator (unemployed) will be more than the percentage increase in the denominator (labor force) when we add discouraged workers (because initially discouraged workers were 0 in the unemployed and 0 in the labor force), the unemployment rate will increase.
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would increase unemployment rate if they were added to the number of unemployed workers.