The reported unemployment rate should be viewed as
A)a useful but imperfect measure of joblessness.
B)clearly smaller than the true unemployment rate.
C)clearly larger than the true unemployment rate.
D)being very close to the true unemployment rate.

Question

Quizplus · Accepted Answer

The reported unemployment rate is a useful measure of joblessness but it is imperfect, as it does not capture all individuals who are unemployed. For example, individuals who have given up looking for work are not counted in the unemployment rate. Therefore, the reported unemployment rate should be viewed as an imperfect measure of joblessness.

The Reported Unemployment Rate Should Be Viewed as