Which of the following would reduce the labor force participation rate,all else equal?
A)an increase in the number of people in the labor force
B)an increase in the unemployment rate
C)a decrease in the unemployment rate
D)an increase in the working-age population

Question

Quizplus · Accepted Answer

An increase in the working-age population, without a corresponding increase in the labor force, would reduce the labor force participation rate, as the denominator (working-age population) increases while the numerator (labor force) remains constant.

Which of the Following Would Reduce the Labor Force Participation