According to the President's Council of Economic Advisors, the labor force participation rate has significantly declined...

According to the President's Council of Economic Advisors, the labor force participation rate has significantly declined since the year 2000, due primarily to retiring baby boomers and the severity of the 2007-2009 recession. However, over the past couple of years, the labor force participation rate has held fairly steady, indicating that previously discouraged workers may be reentering the labor market. In June 2017, the labor force participation rate was 62.8%, roughly the same as it was a month earlier. Source: Andy Kiersz, "Labor force participation ticks up," businessinsider.com, July 7, 2017. Questions: Refer to the Article Summary. What is the labor force participation rate? (5 points) What are discouraged workers? (5 points) Explain how discouraged workers reentering the labor market would stop the decline of the labor force participation rate. (10 points).

Solutions

Expert Solution

Answer:

labor force participation rate :-

The labor force participation rate is a measure of an economy's active workforce in the age group of 16-64 in the economy Actively employed or searching job..

The formula = sum of all workers who are employed or actively seeking employment divided by the total noninstitutionalized, civilian working-age population.

Discouraged workers :-

A discouraged worker is Signify to the kind of person who is eligible for employment and can work, but is currently unemployed and has not attempted to find employment in the last four weeks.

Discouraged workers reentering the labor market would stop the decline of the labor force participation rate :-

Surely the Discouraged worker who is able to work and does not attempt to find the work if in case search the job work or actively emplomployed somewhere on the work This will decline the labour force participation rate as By joining discouraged workers the labour rate participation rate will be improved .

Hope you Like Answer Hit Thumbs up and Give us feed back . Ask your Doubts in comments on Problem if any.

All the best Friends for your examination and most welcome

Rahul Sunny answered 1 year ago

Next > < Previous

Related Solutions

Topic: Labor Force Participation Question/Prompt: “Because of the decreasing labor force participation rate of youths and...

Topic: Labor Force Participation Question/Prompt: “Because of the decreasing labor force participation rate of youths and the prime age group, the overall labor force participation rate is expected to decline. The participation rates of older workers are projected to increase, but remain significantly lower than those of the prime age group. A combination of a slower growth of the civilian noninstitutional population and falling participation rates will lower labor force growth to a projected 0.5 percent annually.” (Labor Force Projections,...

Whats the importance and significance of the council of Economic Advisors.

Since 2008, the U.S. labor force participation rate for men has ________ and for women has...

Since 2008, the U.S. labor force participation rate for men has ________ and for women has ________. A. gone up; gone up B. gone down; gone up C. been flat; gone down D. been flat; been flat E. gone down; gone down

31. The unemployment rate and the labor force participation are two labor statistics that are used...

31. The unemployment rate and the labor force participation are two labor statistics that are used to analyze the economy. In each of the scenarios below, state the impact that the event will have of both the labor force participation rate and the unemployment rate. Explain your answers using the formulas to calculate labor force participation and the unemployment rate that were discussed in this unit. a. A car manufacturing company goes bankrupt and is forced to lay off all...

Define the following and write each formula: a) Labor force participation rate b) Labor Force c)...

Define the following and write each formula: a) Labor force participation rate b) Labor Force c) Unemployment Rate

The natural rate of unemployment in Thailand is about 1% and the labor force participation rate...

The natural rate of unemployment in Thailand is about 1% and the labor force participation rate is about 68%. Interpret these values. What does it mean for the Thailand’s economy and population? Why is the U-rate so low?

The natural rate of unemployment in Thailand is about 1% and the labor force participation rate...

The labor force participation rate is calculated as: Select one: a. the percent of the population...

The labor force participation rate is calculated as: Select one: a. the percent of the population age 16 or older that is in the labor force. b. the percent of the entire population that is unemployed. c. the percent of the labor force age 16 or older that is employed. d. the percent of the population age 16 or older that is unemployed. Which of following is true about socialism? Select one: a. all of the above. b. prices are...

Since 1970, the labor force participation rate for women has increased from 43.3% in 1970 to...

Since 1970, the labor force participation rate for women has increased from 43.3% in 1970 to 56.9% in 2018. During the same period, real GDP increased from $4.715 trillion to $17.286 trillion. Are these two events related? Explain. MUST BE AT LEAST 250 WORD COUNT

2. The USA's natural rate of unemployment is about 1%, and the labor force participation rate...

2. The USA's natural rate of unemployment is about 1%, and the labor force participation rate is about 60%. Interpret these values. What does it mean for the US economy and population? Why is the Unemployment rate so low? Please, explain clearly and show how to calculate. Thank you.

Subjects