Chapter 12 Outline
A. The Unemployment Rate
1. The unemployment rate is the percentage of the civilian labor force that is unemployed.
a. The civilian labor force is the number of persons employed plus the number of persons unemployed.
b. Individuals are considered unemployed if they did not have a job, were available for work, and actively sought employment in the past four weeks.
c. Persons 16 years of age and over who are neither employed nor unemployed are not in the civilian labor force.
2. The unemployment rate differs among demographic groups.
a. Unemployment rates for teenagers, African-Americans, and Hispanics are higher than the overall unemployment rate.
b. This variation in unemployment rates means that not all groups suffer equally when the unemployment rate increases.
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