Question:
The Labor Force Participation Rate represents the percentage of:
(1) the total population that is employed.
(2) the working-age population that is either employed or unemployed (seeking work).
(3) the unemployed population relative to the total population.
(4) the total population that is of working age.
(5) employed people relative to unemployed people.
Correct Answer:
(2)
Answer Explanation:
It measures the “active” workforce. $LFPR = (Labor Force / Working Age Population) times 100$. It excludes those who are not looking for work (e.g., students, retirees).
Topic: National Income Year: 2024
Leave a Reply