Table of Contents
What is the current civilian unemployment rate?
3.6 percent
Total nonfarm payroll employment increased by 428,000 in April, and the unemployment rate was unchanged at 3.6 percent, the U.S. Bureau of Labor Statistics reported today.
What is the most accurate measure of unemployment?
The Bureau of Labor statistics publishes several measures of unemployment each month. But which one provides the most accurate view? The most commonly cited measure, known as “U-3,” tracks the percentage of people who are actively seeking work.
How does the US government officially measure employment and unemployment in the economy?
Because unemployment insurance records relate only to people who have applied for such benefits, and since it is impractical to count every unemployed person each month, the government conducts a monthly survey called the Current Population Survey (CPS) to measure the extent of unemployment in the country.
Which measure of unemployment is most commonly used in news reports?
The U-3 unemployment rate is the most commonly reported rate in the U.S., representing the number of unemployed people actively seeking a job. The U-6 rate includes discouraged, underemployed, and unemployed workers in the country.
What are two criticisms of the unemployment rate data?
The unemployment rate as it is measured officially is often criticized for understating the level of joblessness because it excludes anyone working at all or people who aren’t looking for work. In particular, the official unemployment rate leaves out discouraged workers and the underemployed.
Is the unemployment rate a good indicator?
While no single number captures all the nuances in the health of the labor market, the unemployment rate is considered one of the most important economic indicators. The unemployment rate measures the share of workers in the labor force who do not currently have a job but are actively looking for work.
Why does the government track employment and unemployment data?
These statistics—together with other economic data—can be used by policymakers to determine whether measures should be taken to influence the future course of the economy or to aid those affected by joblessness.
What is the one reason unemployment statistics are unreliable?
What is one reason unemployment statistics are unreliable? The statistics include only those who are currently looking for work.