PHYSICS 102 Lecture Notes - Lecture 12: W. M. Keck Observatory, Employment-To-Population Ratio, Laissez-Faire
Document Summary
Week 3 unemployment: at the end of the lecture, the student . Is able to calculate and interpret (un)employment metrics. Is able to graphically depict the effect of interventions in the labor market. Is able to explain the dynamics in the labor market. Problem: employment rate is not comparable when definitions differ between countries. Measured differently (no universal standard of measurement!) Unemployment rate: employment: number of people currently employed in the economy (either full time or partly, unemployment: number of people who are actively looking for work but are not currently employed. Problem: housewife not fitting in any explanation! Labor force participation rate = % of population aged 16 or older that is in the labor force ((labor force / population age 16 (or older)) * 100) Unemployment rate = % of total number of people in the labor force being unemployed ((number unemployed workers / labor force) * 100) During each recession (purple line) unemployment rate increases.
