What is the definition of unemployment?

The definition of unemployment is best described as people actively seeking work but unable to find employment. This captures the essence of what unemployment represents in economic terms. It specifically refers to those individuals who are part of the labor force and are currently looking for jobs, meaning they are willing and able to work but have not secured a position.

Understanding this definition is critical because it distinguishes unemployed individuals from those who are not in the labor force, such as students, retirees, or those who have stopped looking for work. Option A reflects the commonly accepted definition used by economists and organizations that measure labor market conditions, such as national statistical agencies and the International Labour Organization.

The other options represent different economic concepts but do not accurately summarize the definition of unemployment. For instance, defining unemployment in terms of the total number of available jobs or the percentage of the labor force not participating in the job market does not focus on those who are actively seeking employment. Additionally, the ratio of workers employed to available jobs gives insight into job availability rather than directly addressing unemployment.