Unemployment Rate
Definition
The percentage of the labor force that is jobless and actively seeking employment. The labor force includes both employed and unemployed people; it excludes those not looking for work.
Why It Matters
The unemployment rate is the most widely followed indicator of labor market health. High unemployment signals economic distress and increases demand for unemployment insurance and social services.
How It's Measured
The ACS captures employment status over the past 12 months. The Bureau of Labor Statistics (BLS) also publishes monthly estimates using a different survey (the Current Population Survey).
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Frequently Asked Questions
The percentage of the labor force that is jobless and actively seeking employment. The labor force includes both employed and unemployed people; it excludes those not looking for work.
The unemployment rate is the most widely followed indicator of labor market health. High unemployment signals economic distress and increases demand for unemployment insurance and social services.
The ACS captures employment status over the past 12 months. The Bureau of Labor Statistics (BLS) also publishes monthly estimates using a different survey (the Current Population Survey).