You only need to use the data in the Key Figures table. Please use the seasonally-adjusted numbers, since these are the ones usually referred to in the media and used by economic analysts.

a) Calculate the size of the labour force in July and August, and show your working. [2 marks]

b) Show how the unemployment rate in each month is calculated from the numbers of people. [2 marks]

c) Explain why the unemployment rate is rising even though the Employed Persons Figure shows a continual rise. [2 marks]

d) Explain what the implications of moving towards a gig economy, where fewer people work full-time jobs, will have on the unemployment rate and on the output of the economy. [2 marks]

e) Based on each of the following descriptions of an individual, answer whether they would be considered unemployed or not unemployed. If they are unemployed, suggest whether you think it is frictional, structural, seasonal or cyclical unemployment. You must provide reasons for you answers. The correct answer with no explanation will not receive any marks. (1 mark each)

i. A 25-year-old has quit his job to be the primary caregiver of his elderly mother who has terminal cancer. He plans to return to work when she dies.

ii. A 65-year-old accountant has quit her job because she was frustrated about not being promoted and has since applied for two other positions.

SEPTEMBER KEY FIGURES Aug 19 Sep 19 Aug 19 to Sep 19 Sep 18 to Sep 19 Trend Employed people ('000) Unemployed people ('000) Unemployment rate (%) Underemployment rate (%) Participation rate (%) Monthly hours worked in all jobs ('000 000) 12,922.5 716.4 5.3 8.4 66.2 1,781.0 12,942.8 718.0 5.3 8.4 66.2 1,783.7 20.2 1.6 0.0 pts 0.0 pts 0.0 pts 2.7 2.4% 4.7% 0.1 pts 0.1 pts 0.6 pts 1.8% 12,929.3 717.7 5.3 Seasonally Adjusted Employed people ('000) Unemployed people ('000) Unemployment rate (%) Underemployment rate (%) Participation rate (%) Monthly hours worked in all jobs ('000 000) 12,944.0 709.6 5.2 8.3 66.1 14.7 -8.1 -0.1 pts -0.2 pts -0.1 pts 4.1 2.5% 6.6% 0.2 pts 0.0 pts 0.7 pts 8.5 66.2 1,783.2 1,787.3 1.9% EMPLOYED PEOPLE '000 13100 Trend -- Seasonally Adjusted 12900 + 12700 12500 12300 12100 11900 + 11700 11500 11300 + Sep 2014 Sep 2015 Sep 2016 Sep 2017 Sep 2018 Sep 2019 UNEMPLOYMENT RATE Trend -- Seasonally Adjusted 6.4 6.2 + 6.0 5.8 - 5.6 5.4 5.2 5.0 - 4.8 + Sep 2014 Sep 2015 Sep 2016 Sep 2017 Sep 2018 Sep 2019 SEPTEMBER KEY POINTS TREND ESTIMATES Employment increased by 20,200 to 12,942,800 people. Full-time employment increased by 9,000 to 8,840,200 people and part-time employment increased by 11,300 to 4,102,600 people. Unemployment increased by 1,600 to 718,000 people. Unemployment rate remained steady at 5.3%. Participation rate remained steady at 66.2%. Monthly hours worked in all jobs increased by 2.7 million hours to 1,783.7 million hours. SEASONALLY ADJUSTED ESTIMATES Employment increased by 14,700 to 12,944,000 people. Full-time employment increased by 26,200 to 8,847,200 people and part-time employment decreased by 11,400 to 4,096,900 people. Unemployment decreased by 8.100 to 709.600 people. Unemployment rate decreased by 0.1 pts to 5.2%. Participation rate decreased by 0.1 pts to 66.1%. Monthly hours worked in all jobs increased by 4.1 million hours to 1,787.3 million hours. LABOUR UNDERUTILISATION The monthly trend underemployment rate remained steady at 8.4%. The monthly underutilisation rate remained steady at 13.7%. The monthly seasonally adjusted underemployment rate decreased by 0.2 pts to 8.3%. The monthly underutilisation rate decreased by 0.2 pts to 13.5%. NOTES FORTHCOMING ISSUES Issue October 2019 November 2019 December 2019 January 2020 February 2020 March 2020 Release Date 14 November 2019 19 December 2019 23 January 2020 20 February 2020 19 March 2020 16 April 2020 BUSHFIRES IN SEPTEMBER Bushfires in New South Wales and Queensland resulted in minor disruption to data collection activities during September 2019. In many cases data could still be collected during the latter stages of the period. Quality assurance undertaken by the ABS confirmed that these disruptions did not result in any notable impacts to Labour Force statistics. ROUNDING Estimates of changes in the commentary have been calculated using un-rounded estimates, and may be different from, but are more accurate than, movement obtained from the rounded estimates. Graphs also depict un-rounded estimates. SAMPLING ERROR The estimates in this publication are based on a sample survey. Published estimates and movements are subject to sampling variability. Standard errors give a measure of sampling variability. The interval bounded by two standard errors is the 95% confidence interval, which provides a way of looking at the variability inherent in estimates. There is a 95% chance that the true value of the estimate lies within that interval. MOVEMENTS IN SEASONALLY ADJUSTED SERIES BETWEEN AUGUST 2019 AND SEPTEMBER 2019 Monthly change 95% Confidence interval Total Employment Total Unemployment Unemployment rate Participation rate 14 700 -8 100 -0.1 pts -0.1 pts -46 500 -45 100 -0.3 pts -0.5 pts 75 900 28 900 0.1 pts 0.3 pts SEPTEMBER KEY FIGURES Aug 19 Sep 19 Aug 19 to Sep 19 Sep 18 to Sep 19 Trend Employed people ('000) Unemployed people ('000) Unemployment rate (%) Underemployment rate (%) Participation rate (%) Monthly hours worked in all jobs ('000 000) 12,922.5 716.4 5.3 8.4 66.2 1,781.0 12,942.8 718.0 5.3 8.4 66.2 1,783.7 20.2 1.6 0.0 pts 0.0 pts 0.0 pts 2.7 2.4% 4.7% 0.1 pts 0.1 pts 0.6 pts 1.8% 12,929.3 717.7 5.3 Seasonally Adjusted Employed people ('000) Unemployed people ('000) Unemployment rate (%) Underemployment rate (%) Participation rate (%) Monthly hours worked in all jobs ('000 000) 12,944.0 709.6 5.2 8.3 66.1 14.7 -8.1 -0.1 pts -0.2 pts -0.1 pts 4.1 2.5% 6.6% 0.2 pts 0.0 pts 0.7 pts 8.5 66.2 1,783.2 1,787.3 1.9% EMPLOYED PEOPLE '000 13100 Trend -- Seasonally Adjusted 12900 + 12700 12500 12300 12100 11900 + 11700 11500 11300 + Sep 2014 Sep 2015 Sep 2016 Sep 2017 Sep 2018 Sep 2019 UNEMPLOYMENT RATE Trend -- Seasonally Adjusted 6.4 6.2 + 6.0 5.8 - 5.6 5.4 5.2 5.0 - 4.8 + Sep 2014 Sep 2015 Sep 2016 Sep 2017 Sep 2018 Sep 2019 SEPTEMBER KEY POINTS TREND ESTIMATES Employment increased by 20,200 to 12,942,800 people. Full-time employment increased by 9,000 to 8,840,200 people and part-time employment increased by 11,300 to 4,102,600 people. Unemployment increased by 1,600 to 718,000 people. Unemployment rate remained steady at 5.3%. Participation rate remained steady at 66.2%. Monthly hours worked in all jobs increased by 2.7 million hours to 1,783.7 million hours. SEASONALLY ADJUSTED ESTIMATES Employment increased by 14,700 to 12,944,000 people. Full-time employment increased by 26,200 to 8,847,200 people and part-time employment decreased by 11,400 to 4,096,900 people. Unemployment decreased by 8.100 to 709.600 people. Unemployment rate decreased by 0.1 pts to 5.2%. Participation rate decreased by 0.1 pts to 66.1%. Monthly hours worked in all jobs increased by 4.1 million hours to 1,787.3 million hours. LABOUR UNDERUTILISATION The monthly trend underemployment rate remained steady at 8.4%. The monthly underutilisation rate remained steady at 13.7%. The monthly seasonally adjusted underemployment rate decreased by 0.2 pts to 8.3%. The monthly underutilisation rate decreased by 0.2 pts to 13.5%. NOTES FORTHCOMING ISSUES Issue October 2019 November 2019 December 2019 January 2020 February 2020 March 2020 Release Date 14 November 2019 19 December 2019 23 January 2020 20 February 2020 19 March 2020 16 April 2020 BUSHFIRES IN SEPTEMBER Bushfires in New South Wales and Queensland resulted in minor disruption to data collection activities during September 2019. In many cases data could still be collected during the latter stages of the period. Quality assurance undertaken by the ABS confirmed that these disruptions did not result in any notable impacts to Labour Force statistics. ROUNDING Estimates of changes in the commentary have been calculated using un-rounded estimates, and may be different from, but are more accurate than, movement obtained from the rounded estimates. Graphs also depict un-rounded estimates. SAMPLING ERROR The estimates in this publication are based on a sample survey. Published estimates and movements are subject to sampling variability. Standard errors give a measure of sampling variability. The interval bounded by two standard errors is the 95% confidence interval, which provides a way of looking at the variability inherent in estimates. There is a 95% chance that the true value of the estimate lies within that interval. MOVEMENTS IN SEASONALLY ADJUSTED SERIES BETWEEN AUGUST 2019 AND SEPTEMBER 2019 Monthly change 95% Confidence interval Total Employment Total Unemployment Unemployment rate Participation rate 14 700 -8 100 -0.1 pts -0.1 pts -46 500 -45 100 -0.3 pts -0.5 pts 75 900 28 900 0.1 pts 0.3 pts