answersLogoWhite

0


Best Answer

This is true, so the rate being thrown around is very misleading. This was made a big "talking point" in the 80s when they were also trying to downplay the recession, but I am not sure what the proper references are, although I used to. After unemployment runs out or if people change to "self-employed" or entrepreneurs no matter how underpaid they are they are no longer counted. This assisted the transition to many if the workforces being forced into temps jobs with little or no benefits, or being lost to homelessness or dire poverty. Also those getting welfare even in back to work programs are not counted.

Here is an explanation of who are excluded, from an Answers.com discussion of the different types of unemployment, from an economist view point: See the Related Link below on Structural Unemployment.

Hidden unemploymentHidden, or covered, unemployment is the unemployment of potential workers that is not reflected in official unemployment statistics, due to the way the statistics are collected. See the Related Link below.
User Avatar

Wiki User

13y ago
This answer is:
User Avatar

Add your answer:

Earn +20 pts
Q: Is it true that in the calculation of nation's unemployment rate un-employees who stopped receiving unemployment benefits are not counted?
Write your answer...
Submit
Still have questions?
magnify glass
imp
Continue Learning about Sociology

How many people in Nevada state are employed?

The unemployment rate only counts those who have filed and "qualify" for unemployment benefits. After a certain duration, unemployed people are cut off from these unemployment benefits. The employed population is much less than 87% in Nevada. Some sources claim that less than 50% of people within the working age have jobs in the United States. "Unemployment" and those who are not employed are two very different categories.


What's the percentage between US ans EU unemployment. The US unemployment is 8.5 percent the EU27 10.4 percent .Is EU unemployment 22 percent higher than the US or 1.9 percent?

Actually, the US only considers those who are currently unemployed and recieving unemployment benefits. The EU considers anyone of working age and healthy enough to work. Thus the actual unemployment rate in the US is more likely to be around 23% Statistics on most everything are typically skewed. Best to do research before getting nit picky on numbers!


Why does the government undercount the real unemployment rate?

Probably because, in the US for instance) with over 300 million people and people moving in and out of employment, its hard to keep accurate records. The only really known figures are those drawing unemployment benefits. The rest can only be guessed and government statisticians would rather be accurate than have guesstimates.


Who does the official unemployment rate ignore?

Because the 'official rate' uses data from the unemployment offices (who record claims of the unemployed), those not counted are: 1) those who have run out of benefits and are no longer reporting to the state; 2) Those who have given up looking for work, for various reasons; 3) those who have just come into the work force ( from out of school, etc.) and are looking, but don't qualify for unemployment so the office is unaware of them; 4) those looking for work, but not fitting the description of 'worker' ( i.e. under-aged, unqualified, immigrant, day-laborer, self-employed, etc.); 5) workers in 'commission-only' industries ( Realtors, insurance, independent contractors, etc.), as they generally do not qualify for unemployment.


How many Americans are unemployed?

According to the Federal Government (in the Related Link below) as of February 2010 there were 14.9 million unemployed, or 9.7% of the available work force. This figure is understated by the number not seeking unemployment benefits, who have given up looking for jobs, newly entered in the work force (i.e. graduated students, etc.), the retired, etc.

Related questions

If you are receiving unemployment benefits in Texas and will be 66 this month and now qualify for Social Security benefits will receiving Social Security affect your unemployment benefits?

No. Receiving SS benefits will not affect your unemployment.


If you receiving social security and are fired can you receive unemployment benefits?

If you are already receiving social security and are fired can you receive unemployment benefits?


Is unemployment compensation earned income when receiving social security benefits?

no


Where can one find information about moving from benefits to employment?

It depends on the type of benefits you are receiving. If you are receiving unemployment benefits then you could contact your local unemployment agency to find out about employment. If you are getting SSI/SSD then you would have to contact your local SSI department.


Will unemployment benefit reduce for pension recepient?

Yes. Each week when you complete your unemployment certification, you are certifying that you aren't receiving pension benefits. If you are receiving both, it will eventually catch up with you ad you'll get a notice of overpayment of unemployment benefits. I know it's frustrating.


Will Social Security benefits be lowered if you draw unemployment in Colorado?

Social Security has no affect on Colorado's unemployment benefits. Only 4 other states have their unemployment offset by a portion of Social Security.


When drawing unemployment benefits will holidays cause a delay in receiving payments?

No unemployment payments will be made on State and banking holidays.


Can you apply for unemployment benefits after receiving benefits in 2004 for 6 months?

If you have worked in the past year and a half, you probably qualify for benefits.


When do you file your next unemployment claim?

If you mean that you currently are receiving unemployment and are wondering about when you next certify for benefits, its every two weeks.


What does dislocated worker mean?

A dislocated worker is someone who has lost his/her job or is receiving unemployment benefits.


If you are currently receiving unemployment benefits in the state of California and decide to apply for Social Security benefits will your California unemployment benefits be reduced?

No. They are independent and separate programs.


How much can you earn in Michigan while still receiving unemployment benefits?

You must be working less than full time, and the details on how much you can earn is in the Related Link below, in the "Receiving unemployment benefits while working" section.