Accuracy of the Unemployment Rate
How accurate is the unemployment rate?
* understated because some part time workers would prefer to be full time workers
* Understated because some individuals have given up looking for jobs( discouraged workers) and no longer counted in unemployment rate
* Overstated because of working individuals illegally recieving EI
* Overstated because individuals working in the underground econoy are not considered employed
Dr. Stephanie Powers, [ECON101], Unemployment Notes, Winter Term