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When accessing the Tools toolbar in ArcMap, the Measure tool is disabled (grayed out).
This issue occurs because the map does not have known units.
Set the map unit of the data frame with a known unit such as Meters or Miles.
The map units are determined by the data frame's coordinate system.
1. Specify a coordinate system to the data frame.
2. After the coordinate system of the data frame is specified, the map unit is also set with a known unit.
The data frame's coordinate system is usually determined by the first layer added to the map.