When they say the U.S. unemployment rate is 9%, does that mean that only 9% of all possible American workers are out of a job?

Nope. The official unemployment rate doesn’t count people who have given up looking for a job. It also doesn’t include people considered “not in the labor force,” like students. And it definitely doesn’t tell you much about the millions of people who are working part-time but can’t find full-time work. (They’re called the “underemployed.”)

Contrary to popular belief, the unemployment rate has nothing to do with how many people are applying for or receiving unemployment benefits. The Bureau of Labor Statistics collects data by actually going out and asking people about their employment status.

Click the chart for Matt Berger’s explanation.

How do you fit into this chart?

Tags: data, economy, infographic, recession, underemployment, unemployment