What is the formula for labor force participation rate?

The labor force participation rate can be calculated by dividing labor force by working age non-institutionalized population and multiplying the resulting figure by 100. This helps to know the number of people who are employed and those looking for jobs within the country.

A higher labor force participation rate shows that there are many people within a country who are interested in getting jobs. Labor force is defined as all people, both unemployed and employed, aged 16 years and above within a country. The labor force participation rate can also help to break down the active population by age group and gender.