Which of the following would most likely cause a nation's labor force participation rate (LFPR) to increase?

Choose 1 answer:
(A) Employed workers lose their jobs and become unemployed
(B) Paid workers leave their jobs to focus on full-time volunteer work instead of paid work
(C) There is an increase in the number of people leaving jobs and going to college full-time
(D) The retirement age is lowered, which leads more people to retire earlier
(E) Fewer parents choose to stay at home with their children and instead take part-time jobs

Question

Which of the following would most likely cause a nation's labor force participation rate (LFPR) to increase?

Choose 1 answer:
(A) Employed workers lose their jobs and become unemployed
(B) Paid workers leave their jobs to focus on full-time volunteer work instead of paid work
(C) There is an increase in the number of people leaving jobs and going to college full-time
(D) The retirement age is lowered, which leads more people to retire earlier
(E) Fewer parents choose to stay at home with their children and instead take part-time jobs

Accepted Answer

***E*** ∻Key Concept∻ ⚹Labor Force Participation Rate (LFPR)⚹ ∻Explanation∻ ⚹The LFPR measures the proportion of the population that is actively engaged in the labor market, either by working or actively seeking employment. When fewer parents choose to stay at home and instead enter the workforce, this increases the number of people either employed or looking for work, thus raising the LFPR.⚹◊How does an increase in the retirement age affect a nation's labor force participation rate (LFPR) according to macroeconomic principles?⍭ Generate me a similar question◊

Sia