Unemployment rate
Also called: labour force participation rate, jobless rate
The share of the labour force that is without work and looking for it.
The labour force is people who are working or looking for work. People not seeking work, such as students and retired people, are outside it. The unemployment rate can fall because people find jobs or because discouraged job-seekers stop looking, so the participation rate, the labour force as a share of the working-age population, is worth watching alongside it.
Example
With 520 employed and 30 looking for work, the labour force is 550 and the unemployment rate is 30 ÷ 550, about 5.5%.
Learn more in these lessons
- Employment and consumptionHow do jobs and household spending drive the economy, and how are they measured?
Related terms
Spotted a mistake or something unclear? Report it by email. Here is how corrections work.