Flashcards in Chapter 14- Section 2 Deck (10):
People available for work who made a specific effort to find a job during the past month and two, during the most recent survey week, worked less than one hour for pay or profit
The number of unemployed individuals divided by the total number of persons in the civilian labor force
What are the limitations of the unemployment rate?
The unemployment rate does not count those who have become too frustrated or discouraged to look for work. Second, people are considered employed even when they hold part time jobs.
Workers who are between jobs for one reason or another
Occurs when a fundamental change in operations of economy reduces the demand for workers and their skills
Unemployment directly related to swings in the business cycle
Changes in the weather or changes in the demand for certain products
When workers with less skills, talents, or education are replaced by machines and other equipment that do their jobs
How does automation affect unemployment rates?
A drastic reduction in the number of workers needed for production