Demographics
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Unemployment Benefits

Is it true that in the calculation of nation's unemployment rate un-employees who stopped receiving unemployment benefits are not counted?

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Wiki User
2010-09-15 17:01:21

This is true, so the rate being thrown around is very

misleading. This was made a big "talking point" in the 80s when

they were also trying to downplay the recession, but I am not sure

what the proper references are, although I used to. After

unemployment runs out or if people change to "self-employed" or

entrepreneurs no matter how underpaid they are they are no longer

counted. This assisted the transition to many if the workforces

being forced into temps jobs with little or no benefits, or being

lost to homelessness or dire poverty. Also those getting welfare

even in back to work programs are not counted.

Here is an explanation of who are excluded, from an Answers.com

discussion of the different types of unemployment, from an

economist view point: See the Related Link below on Structural

Unemployment.

"Hidden_unemployment" id="Hidden_unemployment">Hidden

unemployment

Hidden, or covered, unemployment is the unemployment of potential

workers that is not reflected in official unemployment statistics,

due to the way the statistics are collected. See the Related Link

below.


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