| A | B |
|---|
| labor force | All persons over age 16 who are either working for pay or actively seeking paid employment. |
| labor-force participation rate | The percentage of the working-age population working or seeking employment. |
| production-possibilities | The alternative combinations of final goods and services that could be produced in a given time period with all available resources and technology. |
| unemployment | The inability of labor-force participants to find jobs. |
| Okun's Law | 1 percent more unemployment is estimated to equal 2 percent less output. |
| unemployment rate | The proportion of the labor force that is unemployed. |
| discouraged worker | An individual who isn't actively seeking employment but would look for or accept a job if one were available. |
| underemployment | people seeking full-time paid employment who work only part time or are employed at jobs below their capability. |
| seasonal unemployment | Unemployment due to seasonal changes in employment or labor supply. |
| frictional unemployment | Brief periods of unemployment experienced by people moving between jods or into the labor market. |
| structural unemployment | Unemployment caused by a mismatch between the skills (or location) of job seekers and the requirements (or location) of available jobs. |
| cyclical unemployment | Unemployment attributable to the lack of job vacancies, that is, to an inadequate level of aggregate demand. |
| full employment | The lowest rate of unemployment compatible with price stability; variously estimated at between 4 percent and 6 percent unemployment. |
| natural rate of unemployment | Long-term of unemployment determined by structural forces in labor and product markets. |
| skills gap | Gap between skills required for emerging jobs and the skills of workers. |
