Economics:
Economics:
10th Edition
ISBN: 9781285859460
Author: BOYES, William
Publisher: Cengage Learning
Question
Book Icon
Chapter 7, Problem 1E
To determine

The definition if the term labor force and whether this definition by the US government is good or not.

Expert Solution & Answer
Check Mark

Answer to Problem 1E

Labor force is made up of both employed and unemployed.

Officially, labor force = All US residents − residents under the age of 16 − institutionalized adults − adults not looking for jobs.

The definition of the US government regarding labor force is a good one.

Explanation of Solution

According to the Bureau of Labor Statistics, people with jobs are employed. People who don't have jobs, looking for jobs and available for jobs are unemployed. Labor force constitutes of both the groups. It is the sum of employed and unemployed people.

It is a good definition because it includes all the people who are actively there in the job market, may not have jobs but are available for employment opportunities. It excludes people who are not in the workable age or are part of the institution like army.

Economics Concept Introduction

Labor force - People available for hiring is referred to as the labor force.

Want to see more full solutions like this?

Subscribe now to access step-by-step solutions to millions of textbook problems written by subject matter experts!
Students have asked these similar questions
Published in 1980, the book Free to Choose discusses how economists Milton Friedman and Rose Friedman proposed a one-sided view of the benefits of a voucher system. However, there are other economists who disagree about the potential effects of a voucher system.
The following diagram illustrates the demand and marginal revenue curves facing a monopoly in an industry with no economies or diseconomies of scale. In the short and long run, MC = ATC. a. Calculate the values of profit, consumer surplus, and deadweight loss, and illustrate these on the graph. b. Repeat the calculations in part a, but now assume the monopoly is able to practice perfect price discrimination.
The projects under the 'Build, Build, Build' program: how these projects improve connectivity and ease of doing business in the Philippines?
Knowledge Booster
Background pattern image
Recommended textbooks for you
Text book image
Economics:
Economics
ISBN:9781285859460
Author:BOYES, William
Publisher:Cengage Learning
Text book image
Macroeconomics: Private and Public Choice (MindTa...
Economics
ISBN:9781305506756
Author:James D. Gwartney, Richard L. Stroup, Russell S. Sobel, David A. Macpherson
Publisher:Cengage Learning
Text book image
Economics: Private and Public Choice (MindTap Cou...
Economics
ISBN:9781305506725
Author:James D. Gwartney, Richard L. Stroup, Russell S. Sobel, David A. Macpherson
Publisher:Cengage Learning
Text book image
Exploring Economics
Economics
ISBN:9781544336329
Author:Robert L. Sexton
Publisher:SAGE Publications, Inc
Text book image
Economics (MindTap Course List)
Economics
ISBN:9781337617383
Author:Roger A. Arnold
Publisher:Cengage Learning
Text book image
Microeconomics
Economics
ISBN:9781337617406
Author:Roger A. Arnold
Publisher:Cengage Learning