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Consider the following statements.
1. The labour force participation rate essentially tells what percentage of the population want to be part of the workforce.
2. A low labour force participation rate means fewer people are making themselves available for economic activity.
Which of the above statements is/are correct?
  • a)
    1 only
  • b)
    2 only
  • c)
    Both 1 and 2
  • d)
    Neither 1 nor 2
Correct answer is option 'B'. Can you explain this answer?
Verified Answer
Consider the following statements.1. The labour force participation ra...
The labour force participation rate essentially tells us what percentage of people who are within the working-age (15 to 59 years) group want to be part of the workforce. A low labour force participation rate undermines a country’s overall productivity and wellbeing because fewer people are making themselves available for economic activity.
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Consider the following statements.1. The labour force participation rateessentially tells what percentage of the population want to be part of the workforce.2. A low labour force participation ratemeans fewer people are making themselves available for economic activity.Which of the above statements is/are correct?a)1 onlyb)2 onlyc)Both 1 and 2d)Neither 1 nor 2Correct answer is option 'B'. Can you explain this answer?
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