how does the government calculate the unemployment rate 
the bureau of labor statistics compiles a monthly employment report based on a survey of around 60 000 representative households in the united states data from the survey are used to estimate the employment figures for the entire country the unemployment rate is based on the percentage of people who are not employed but actively looking for a job as a percentage of the total labor force those who have no job and are no longer looking are not included in the unemployment rate 9the bottom linethe labor market is an economic term for the availability of workers and the cost of employment it plays a major role in the overall economy as in other markets the price for labor is largely determined by supply and demand although the labor market is also heavily regulated in many countries 