The BLS classifies people who would like to work but have given up looking for a job as
A)unemployed. If they were classified as out of the labor force, the reported unemployment rate would be larger.
B)unemployed. If they were classified as out of the labor force, the reported unemployment rate would be smaller.
C)out of the labor force. If they were classified as unemployed, the reported unemployment rate would be larger.
D)out of the labor force. If they were classified as unemployed, the reported unemployment rate would be smaller.

Question

Quizplus · Accepted Answer

People who have given up looking for a job are considered out of the labor force, not unemployed. If they were classified as unemployed, the reported unemployment rate would be larger than it actually is. Therefore, option C is the correct answer.

The BLS Classifies People Who Would Like to Work but Have