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2. Discouraged workers and underemployed workers By keeping track of discouraged and underemployed workers, Statistics Canada gets a clearer picture of the true employment situation than if it looked only at the number of unemployed workers. Which of the following statements correctly describe discouraged workers? Check all that apply. They would like to have jobs. They are not in the labour force. DO They are full-time workers who would like to work only part-time. O They are available for work. Consider a hypothetical economy in which the labour force consists of 200 people. Of those, 190 people are employed full-time and 10 people are unemployed. The government of this economy follows the same conventions as Statistics Canada in computing its employment figures. The unemployment rate is calculated as the number of unemployed people divided by the number of people in the labour force: Unemployment Rate Number of Unemployed People Labour Force 10 205 X 100 = 5% Suppose a reduction in foreign demand for this economy's products causes an economic recession-a prolonged period of declining output. The following table presents two possible scenarios resulting from the recession. Calculate the unemployment rate associated with each scenario. Scenario Unemployment Rate A. Firms reduce work hours by 25%. The number of underemployed workers rises as % firms respond to the reduction in demand for their products by reducing the hours of each employed person from 40 to 30 hours per week. B. The number of unemployed workers rises as firms respond to the reduction in demand % for their products by laying off fourty previously employed workers