Why Might It Be Wrong to Include Self-Proclaimed Discouraged Workers

question 21

Multiple Choice

Why might it be wrong to include self-proclaimed discouraged workers in calculations of the unemployment rate?

• A) Discouraged workers likely have a job but are discouraged only because they would like a better-paying job.
• B) Some discouraged workers are taking advantage of a low-wage period to consume large amounts of leisure.
• C) Discouraged workers receive federal assistance.
• D) Discouraged workers are already included in official unemployment statistics as long as no one else in their household is working.
• E) By definition, discouraged workers are only temporarily laid-off, and they will return to a job shortly.

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