Question

Unemployment Discussion Question: How is unemployment measured? According to the Bureau of Labor Statistics, the unemployed include which individuals?

1) A brief summary of your ideas of how unemployment is measured.

2) Tell the unemployed include which individuals as per the Bureau of Labor Statistics.

Answer 1

1) Government conducts a monthly survey named Current Population Survey to measure the extent of unemployment as it is difficult to collect individual data. With the help sample survey of about 60000 eligible households it arrives at results based on the statistical analysis of the sample data. Every month 25 percent of households are changed so that the sample rotates

The formula used
Unemployment rate= Number of unemployed persons/Labor force
Labor force = employed + Unemployed

2) Unemployed are those who do not have a job and are actively looking for it in the prior 4 weeks and are currently available. So people who submit their resumes, attend interviews, contacts employment centres, job portals, people who are temporarily laid off etc, are counted as unemployed.