Participation Rate

A measure of the participating portion of an economy's labor force.

Investopedia Commentary

The participation rate is important in determining the number of individuals who are willing to work, are working, or are actively looking for work. Those who have no interest in working are not included in the participation rate.

Related Links

Surveying The Employment Report
Macroeconomic Analysis
What Is Fiscal Policy?

See also: Cyclical Unemployment, Frictional Unemployment, Natural Unemployment, Structural Unemployment