The percentage of the working-age population in the labor force (= employed officially unemployed) is called the?

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25-08-2022
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The percentage of the working-age population in the labor force (= employed officially unemployed) is called the?

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AmitPaswan AmitPaswan · Answer 1 · 2022-08-29T13:40:58+02:00

The percentage of the working-age population in the labor force (= employed officially unemployed) is called the labor force participation rate.

The labor force participation rate refers to the estimation of an economy’s active workforce.

The formula to calculate economy’s active workforce is as-

economy’s active workforce= the number of people of ages 16 and older (who are employed or actively seeking employment)/ the total non-organizational, civilian working-age population.

The labor force participation rate is a major metric to use when studying employment and unemployment data because it calculates the number of people who are diligently seeking job as well as those who are presently employed. It excludes organizational people (in prisons, nursing homes, or mental hospitals) and members of the military.

To learn more about labor force participation rate here

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