Question

The unemployment data collected by the Bureau of labor statistics have been criticized because

A.) part time workers are not counted in the number of workers employed
B.) discouraged workers are not considered a part of the labor force
C.) it covers frictional unemployment but not cyclical unemployment, which inflates unemployment figures
D.) the underground economy may understate unemployment

Answer 1

The unemployment statistics from the BLS are criticized for not including discouraged workers as part of the labor force and for not fully accounting for the underground economy.

Step-by-step explanation:

The unemployment data collected by the Bureau of Labor Statistics (BLS) have been criticized particularly because discouraged workers are not considered a part of the labor force.

These are individuals who have stopped looking for work due to a lack of available jobs in their area, and they essentially drop out of the labor force statistics.

The BLS surveys and reports aim to provide a nuanced view of the labor market, but there are inherent difficulties in capturing the full scope of unemployment, including the underrepresentation of some groups and the improper categorization of others who may be working in the informal or underground economy.

Despite their imperfections, these measures can be informative when interpreted with an understanding of their limitations.