QUICK QUIZ - What Is Unemployment?

1.	A nation has a population of 260 million people. Of these, 50 million are retired, in the military, or in institutions. There are 188 million who are employed and 12 million who are unemployed. What is the unemployment rate? A. 4 percent B. 6 percent C. 9 percent D. 27 percent

2.	In calculating the unemployment rate, "discouraged" workers who are not actively seeking employment are: A. excluded. B. included. C. treated the same as part-time workers. D. used to determine the size of the labor force.

3.	In calculating the unemployment rate, part-time workers are: A. counted as unemployed. B. counted as employed. C. used to determine the size of the labor force, but not the unemployment rate. D. treated the same as "discouraged" workers who are not actively seeking employment.

4.

Official unemployment rate statistics may: A. overstate the amount of unemployment by including part-time workers in the calculations. B. understate the amount of unemployment by excluding part-time workers in the calculations. C. overstate the amount of unemployment because of the presence of "discouraged" workers who are not actively seeking employment. D. understate the amount of unemployment because of the presence of "discouraged" workers who are not actively seeking employment.

This is the end of the test. When you have completed all the questions and reviewed your answers, press the button below to grade the test.