1.) Which of the following statements correctly describe discouraged workers? Check all that apply. (If none of the choices apply, leave all of the checkboxes blank.)
- They have given up on looking for a job.
- They have not looked for a job in 6 weeks, but they would like a job and are available for work.
- They are counted as part of the labor force by the Bureau of Labor Statistics.
- They are employed workers who want to earn higher wages.
2.) The official unemployment rate and the U-4 measure of labor under-utilization are two different measures of joblessness in the economy. Excluding discouraged workers from the official unemployment rate may cause the official rate to (overstate/understate) the true extent of underemployment.
- Civilian Population 238,851,000
- Employed 139,573,000
- Unemployed 13,673,000
- Discouraged 1,020,000
Fill in the following table by calculating the official unemployment rate and the U-4 measure of labor under-utilization: