The unemployment rate is the share of the workforce without a job expressed as a percentage.
It is an outcome indicator, meaning it generally rises or falls following changing economic conditions rather than anticipating them.
- When the economy is subdued and jobs are scarce, the unemployment rate tends to increase;
- When the economy is growing at a healthy rate and jobs are relatively plentiful, the unemployment rate may decline.
In Italy the unemployment rate is calculated monthly, quarterly and annually by Istat.
The unemployment rate attracts a lot of criticism, as it tends to give the appearance that the labor market is healthier than the results given by some alternative measures.
