Question

Jenny lost her job as an architect in the most recent recession, she has worked as a cashier at Target since losing her job. Jenny is:

Multiple Choice

A. not included in the labor force, but is included in the unemployment rate.

B. included in the labor force, and is considered employed.

C. included in the labor force, but is not included in the unemployment rate.

D. included in the labor force, but is considered unemployed.

Answer 1

Unemployed people are those people who are in the labour force and currently not actively participating in the job but looking for the job for last 4 weeks

Employed peoples are those who actively contribute in the workforce in a country

Labour force is the sum of employed people and unemployed people

So here since Jenny lost her job because of the cyclical unemployment

Cyclical unemployment rises because of economy up and down and here economy is facing recession

So she has to lose the job of cashier

Now still she will be considered under the labour force but as unemployed person

She will be included in both labour force and unemployment rate

So the only correct answer here is option d