Unemployment Basics Drill 1

The unemployment rate is calculated as:

To be counted as unemployed in official statistics, a person must:

Frictional unemployment arises from:

Structural unemployment is caused by:

Cyclical unemployment rises when:

The natural rate of unemployment equals:

If the labor force is 160 million and 8 million are unemployed, the unemployment rate is:

Discouraged workers cause the official unemployment rate to:

Okun's law suggests that a 1 percentage point rise in cyclical unemployment is associated with roughly:

The labor force participation rate measures: