How is unemployment defined?

Unemployment is defined as the state of actively seeking paid work but being unable to find it. This definition captures the essence of what it means to be unemployed; it includes individuals who are not currently working but are making efforts to find employment. This active job search is a critical component because, without it, individuals may not be classified as unemployed but rather as outside of the labor force.

Understanding unemployment in this way is important for economic analysis and policy-making. Researchers and economists look at unemployment rates as an indicator of economic health. A high unemployment rate suggests that there are not enough jobs available for those seeking work, highlighting issues such as economic downturns or structural changes in the economy.

The other options do not accurately capture the definition of unemployment. Being employed full-time does not relate to unemployment, as it indicates that a person has a job. Lack of job training refers to potential barriers to employment but does not directly define unemployment. Finally, the measure of workforce participation pertains to how many people are either employed or actively seeking work, but it does not specifically refer to those who are unemployed.