Log out Go to App
Go to App

Learning Materials

Features

Discover

Chapter 21: Q. 31 (page 525)

Is a decrease in the unemployment rate necessarily a good thing for a nation? Explain.

Short Answer

Expert verified

A decrease in the unemployment rate is not necessarily a good thing for a nation.

Step by step solution

01

Step 1. Unemployment Rate.

The unemployment rate is the percentage of adults who are in the labor force and thus seeking jobs, but who do not have jobs.

02

Step 2. Decrease in Unemployment Rate.

A decrease in the unemployment rate is not necessarily a good thing for a nation. An increase in discouraged workers will decrease the number of unemployed workers which leads to a decline in the unemployment rate.

Unlock Step-by-Step Solutions & Ace Your Exams!

  • Full Textbook Solutions

    Get detailed explanations and key concepts

  • Unlimited Al creation

    Al flashcards, explanations, exams and more...

  • Ads-free access

    To over 500 millions flashcards

  • Money-back guarantee

    We refund you if you fail your exam.

Start your free trial

Over 30 million students worldwide already upgrade their learning with Vaia!

One App. One Place for Learning.

All the tools & learning materials you need for study success - in one app.

Get started for free

Most popular questions from this chapter

As the baby boom generation retires, the ratio of retirees to workers will increase noticeably. How will this affect the Social Security program? How will this affect the standard of living of the average American?

What term describes the remaining level of unemployment that occurs even when the economy is healthy?

What happens to the labor force participation rate when employed individuals are reclassified as unemployed? What happens when they are reclassified as discouraged workers?

Using the above data, what is the unemployment rate? These data are U.S. statistics from 2010. How does it compare to the February 2015 unemployment rate computed earlier?

What happens to the unemployment rate when unemployed workers are reclassified as discouraged workers?
See all solutions

What do you think about this solution?

We value your feedback to improve our textbook solutions.

Study anywhere. Anytime. Across all devices.

Sign-up for free