1. Module The Meaning and Calculation of Unemployment KRUGMAN'S MACROECONOMICS for AP* 12 Margaret Ray and David Anderson

2. What you will learn in this Module : How unemployment is measured How the unemployment rate is calculated The significance of the unemployment rate for the economy The relationship between the unemployment rate and economic growth

3. Defining and Measuring Unemployment Labor Force Participation Rate Unemployment Rate Employed Unemployed Labor Force

4. The Significance of the Unemployment Rate Indicator of employment opportunity Overstating the true level of unemployment Understating the true level of unemployment discouraged workers marginally attached workers underemployed

5. The Significance of the Unemployment Rate 2007

6. Growth and Unemployment Recessions and unemployment Economic expansions and unemployment Except Relationship between economic growth and unemployment

7. Figure 12.1 The U.S. Unemployment Rate, 1948–2010 Ray and Anderson: Krugman’s Macroeconomics for AP, First Edition Copyright © 2011 by Worth Publishers

8. Figure 12.2 Alternative Measures of Unemployment, 1994–2010 Ray and Anderson: Krugman’s Macroeconomics for AP, First Edition Copyright © 2011 by Worth Publishers

9. Figure 12.4 Unemployment and Recessions, 1978–2010 Ray and Anderson: Krugman’s Macroeconomics for AP, First Edition Copyright © 2011 by Worth Publishers

10. Figure 12.5 Growth and Changes in Unemployment, 1949–2009 Ray and Anderson: Krugman’s Macroeconomics for AP, First Edition Copyright © 2011 by Worth Publishers

11. Unnumbered Figure 12.1 Rocky Mountain Low Ray and Anderson: Krugman’s Macroeconomics for AP, First Edition Copyright © 2011 by Worth Publishers July 2007