Question

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).

Answer 1

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 .

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