In this issue of Math in the News we look at unemployment statistics and compare the U3 and U6 stats. For more math media resources, go to http://www.media4math.com.

2. U-3
Total unemployed, as a percent of
the civilian labor force (official
unemployment rate)
Unemployment
The U3 tracks people out of work who are actively looking for work. Those
who have stopped looking for work are not counted in the U3. The monthly
unemployment numbers reported are the U3 stats.

3. U-6
Total unemployed, plus all persons marginally
attached to the labor force, plus total
employed part time for economic reasons, as
a percent of the civilian labor force plus all
persons marginally attached to the labor force
Unemployment
The U6 captures all people who are capable of working, whether they are
looking for work or not. Retired people are not counted in this statistic.

4. Unemployment
We can look at the Labor Force as made up of those who are Employed,
those who are Unemployed Looking for Work (U3), and Unemployed and
Not Actively Seeking Work (U6).

5. Unemployment
The Unemployment Rate (U3) can go down when people get jobs and are
Employed.

6. Unemployment
The Unemployment Rate (U3) can also go down when people stop looking
for work.

7. Let’s compare the U3 and U6
statistics over a period of
time.

8. U3 U6
Dec-11 8.5 15.2
Jan-12 8.3 15.1
Feb-12 8.3 14.9
Mar-12 8.2 14.5
Apr-12 8.1 14.5
Unemployment
This table shows the U3 and U6 unemployment rates for a five-month
period. Source: Bureau of Labor Statistics.

9. Unemployment
This is the graph of the data from the table.

10. U3 U6
Dec-11 8.5 15.2
Jan-12 8.3 15.1
Feb-12 8.3 14.9
Mar-12 8.2 14.5
Apr-12 8.1 14.5
Unemployment
Both the U3 and U6 rates show some modest decreases, but how is the
overall number of people in the workforce changing?

11. Unemployed
(thousands) 13,792 12,806 12,673 12,500
Unemployment
rate 9 8.3 8.2 8.1
Not in labor force 85,726 87,564 87,897 88,419
Unemployment
This table shows that as the Unemployment Rate (U3) has gone down, the
total number not in the Labor Force has gone up.

12. While the Unemployment Rate (U3)
has gone down, this has been
due in part to people no longer
looking for work.