Answer to Question #192723 in Economics for Zukile

Question

1.23 The labour force participation rate refers to

[1] The skills, knowledge and other acquired characteristics of workers that make them more productive.

[2] An organisational unit where the pricing and allocation of labour are governed by a set of administrative rules rather than by market forces.

[3] The inferior treatment of some workers with respect to employment, promotion and wages.

[4] The percentage of the population of working age that furnishes its labour to produce economic goods and services, whether employed or not.

[5] The potential labour force only.

Answer 1

The labour force participation rate is calculated by expressing the number of persons in the labour force as a percentage of the working-age population. The labour force is the sum of the number of persons employed and the number of persons unemployed.

So, the correct answer is [4].