Types of unemployment, measures of inflation, and the relationship between the two in macroeconomic theory. Front: the term or concept. Back: a plain-language definition.
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- Seasonal unemployment
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Unemployment due to predictable, recurring changes in labor demand at certain times of the year.- NAIRU
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The Non-Accelerating Inflation Rate of Unemployment; the unemployment level below which inflation tends to accelerate.- Labor force
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The total number of people in the working-age population who are employed or actively seeking employment.- U-1 unemployment rate
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The unemployment rate for workers who have been jobless for 15 weeks or longer.- U-3 unemployment rate
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The most commonly cited official unemployment rate; includes all civilians aged 16+ who are unemployed and actively seeking work.- U-6 unemployment rate
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The broadest unemployment measure; includes discouraged workers and those working part-time because they cannot find full-time jobs.- Discouraged worker
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A person who has stopped searching for employment because they believe no suitable jobs are available.- Labor force participation rate
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The percentage of the working-age population that is employed or actively seeking employment.- Disinflation
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A decrease in the rate of inflation from one period to the next, without prices actually falling.- Hyperinflation
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Extremely rapid inflation, typically defined as exceeding 50 percent per month or several thousand percent per year.- Producer Price Index (PPI)
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A measure of the average change in prices received by domestic producers for their output.- GDP deflator
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A measure of inflation based on the prices of all goods and services produced within an economy, not just consumer goods.- Core inflation
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The inflation rate for all consumer goods and services except volatile food and energy prices.- Phillips curve
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An empirical relationship showing an inverse relationship between the rate of unemployment and the rate of inflation in an economy.- Okun's law
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An empirical relationship stating that for every 1 percentage point increase in unemployment, real GDP falls by approximately 2 percent.
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