| Question | Answer |
| employed | the condition of having a job |
| Marginally attached workers | people ready and available to work, who have conducted a job search within the past twelve months, not search in four weeks |
| U2 | unemployment rate that only includes people who have lost a job as opposed to those who have quit. |
| unemployed | not having a job |
| Structural unemployment | Unemployment that is caused by the permanent destruction of jobs in a dying industry, a mismatch between the skills necessary for employment and the seekers skill sets. |
| Efficiency wages | exceed the equilibrium market wages |
| Employment to population ratio | the percentage of the working age population that is classified as employed |
| labor force participation rate | the labor force divided by the working age population |
| unemployment rate | the unemployment rate is equal to the number of unemployed persons divided by the number of people in the labor force. |
| Cyclical unemployment | Unemployment associated with downturns in a business cycle. |
| U4 | unemployment rate that adds discouraged workers to the official unemployment rate |
| labor force | number of employed plus unemployed people age sixteen and over |
| Full employment | The level of employment that exists when the economy is being productively efficient |
| discouraged workers | unemployed in the general sense |
| U6 | the most all inclusive measure of unemployment. |
| Frictional Unemployment | Voluntary unemployment that occurs when a person enters the labor force and looks for a job. Recent graduate looking for her first time job |
| U1 | includes people unemployed fifteen weeks or longer |
| natural rate of unemployment | The rate of unemployment that exists when there is no cyclical unemployment present in the economy. |
| U3 | the official unemployment rate |
| Creative destruction | As one industry is being born, another dies or is destroyed. |
| U5 | unemployment rate that includes all marginally attached workers |
