Labor Force
Total employed/unemployed people available for work.
Formula
Labor Force Participation Rate = (Labor Force ÷ Working-Age Population) × 100
Real World
Germany's aging labor force has driven firms like BMW to invest heavily in automation and recruit skilled workers from Poland and Romania to fill capacity gaps.
Exam Focus
When evaluating a country's competitiveness, always address both the size and the skills profile of the labor force — not just wage levels.
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