News Analysis: The Monthly Employment Situation The Bureau of Labor Statistics (BLS) adjusts the numbers from the household survey to estimate the employment picture for the entire population. Once the adjustment is made, the BLS uses the gures to generate key employment indicators. The following table presents information from the household surveys conducted for October 2017 and, for purposes of comparison, October 2016. The numbers in the table are listed in thousands. For example, the number of unemployed in the table for October 2017 indicates that about 6.5 million people were unemployed at that time. Use the information lists that follow the table to help you ll in the missing values in the table. October 2016 2017 Civilian noninstitutional population 254,321 255,766 Civilian labor force 159,642 161,601 Participation rate 62.8% % Employed 151,902 153,861 Employmentpopulation ratio 59.7% % Unemployed 7,740 6,520 Ofcial unemployment rate 4.8% % Unemployed 15 weeks or more 3,131 2,500 U-1 labor underutilization 2.0% % Discouraged workers 5,889 5,185 U-4 labor underutilization 8.2% % The following list shows you how to compute the statistics most commonly used to indicate the health of an economy: - The participation rate is the percentage of the working-age population in the labor forceeither employed or searching for employment. In October 2016, the participation rate was gig? X 100 = 62.8%. . The employmentpopulation ratio is the percentage of the working-age population that is employed. In October 2016, the employment-population ratio was 3:2? X 100 = 59.7%. I The official unemployment rate is the percentage of the labor force that does not have a job but is actively searching for employment. In October 2016, the ofcial unemployment rate was % X 100 = 4.8%. To get a more accurate picture of underemployment in the economy, the BLS calculates several alternative measures of labor underutilization: - The "-1 measure of labor underutilization measures the percentage of the labor force that has been unemployed for 15 weeks or 3,131 _ 159W x 100 _ 2.0%. . Another measure, the U-4 measure of labor underutilization, treats discouraged workers as though they were unemployed and more at the time of the household survey. In October 2016, U-1 was part of the labor force. To calculate U-4, the BLS divides the sum of unemployed and discouraged workers by the sum of the labor 7,740+5,ss9 X 100 = 82%- force and discouraged workers. In October 2016, U-4 was m Based on the numbers in the previous table, indicate whether each of the following statements accurately describes the differences in the employment situation between October 2016 and October 201 7. Statement True False A smaller fraction of the civilian noninstitutional population was in the labor force in October 2017 than in October 2016. O 0 While the unemployment rate was lower in October 2017 compared to October 2016, the U-1 and U4 measures of labor 0 O underutilization were higher than they were in October 2016. The typical unemployed worker in October 2017 was less likely to have been unemployed for 15 weeks or more than the typical 0 O unemployed worker in October 2016. In October 2017, a larger fraction of the civilian noninstitutional population was employed than in October 2016. O O A smaller number of jobless people who wanted a job and were available to work had given up on their job search in October 0 O 2017 compared to October 2016. The official unemployment rate and the U-4 measure of labor underutilization are two different measures of joblessness in the economy. Excluding discouraged workers from the ofcial unemployment rate may cause the ofcial rate to v the true extent of Grade It Now Save & Continue Continue without saving underemployment