Question

The BLS surveys and classifies people as employed, unemployed, working age, in the labor force...

The definitions it uses distorts the real employment picture. After studying the survey method and definitions of the categories, give us your opinion.

Is this method incorrect but sufficient given any alternative? Is this method so flawed as to be irrelevant? What would you change and why?

I haven't been able to find much on this subject, even the textbook is vague. thank you for your help in advance.

Answer 1

The full form of CPS i.e. Current Population Survey statistically represented and published by BLS.
CPS uses civilian non-institutional population of age 16 years or older which forms the base for the population groups.under BLS survey,there is a classification of population as employed.This catagory includes: employees who have worked for minimum 1hour and also got remuneration, individuals earnings from their business they own by themselves or any proffession they own by themselves or any proffession they are associated to or any trade, individuals who are permanent employees and were absent for a temporary time being,persons who are working for atleast 9hours family business for free.
people are also classified as unemployed under BLS survey where individuals are taken where individuals are taken where they are not emplyed during the week the survey is done or lack proper job opportunities or training for job.The 3rd catagory is workers is not in the labour force.BLS survey method is not totally incorrect but some supplements are used at times like different evaluation reports also by SAGE research methods etc.BLS survey is not completely inappropriate but few changes would suffice.Since it considers a comparatively low unit as samples for comparing.If a more unit is taken the results would be more realistic.Mostly metropolitan cities are selected as samples.But urban and non-urban area both must be used for calculated.