Question

The official unemployment rate and the U-4 measure of labor underutilization are two different measures of joblessness in the economy.

If the Bureau of Labor Statistics were to include discouraged workers in the official unemployment rate, the reported unemployment rate would ______

Answer 1

The unemployment rate would increase (assuming discouraged workers admit to being discouraged).

Step-by-step explanation:

If discouraged workers would admit to be being discouraged then the unemployment rate would obviously increase due to the effect of the new addition.