If an Unemployed Person Quits Looking for Work, Other Things

Multiple Choice

If an unemployed person quits looking for work, other things equal, which statement best describes the changes in the labour statistics?

A) The unemployment rate decreases, and the labour-force participation rate increases.
B) The unemployment rate decreases, and the labour-force participation rate decreases.
C) The unemployment rate stays the same, and the labour-force participation rate decreases.
D) The unemployment rate and the labour-force participation rate stay the same.