Unemployment- Macro Topic 2.3

Jacob Clifford discusses the spike in unemployment in 2020, comparing it to the Great Depression. He explains how unemployment is measured by the Bureau of Labor Statistics and highlights issues with the statistics, such as part-time workers and discouraged workers. Clifford also covers the three types of unemployment: frictional, structural, and cyclical, and their impact on the economy. He concludes with a call to action for viewers to engage with additional resources and practice questions.

Describe the role of the Bureau of Labor Statistics (BLS) in measuring unemployment.

What was the unemployment rate in the US in August 2020?

What is the formula for calculating the unemployment rate?

What are discouraged workers and how do they affect unemployment statistics?

Explain the difference between frictional and structural unemployment.

How does the natural rate of unemployment differ from the actual unemployment rate?

What is cyclical unemployment and what causes it?