Tuesday, August 16, 2011

Fact #6


The share of the working-age population with jobs has not yet improved.

-       “The unemployment rate, of course, has dropped somewhat, falling from its peak of 10.1% in October 2009 to 9.1% in May 2011. However, an improvement in the unemployment rate is only good news if a larger share to the potential workforce actually finds work, and that is not happening. The entire improvement in the unemployment rate over that period was due to would-be workers deciding to sit out the job search altogether and thus not being counted among the officially unemployed.”

1 comment:

  1. I don't think the unemployed voluntarily choose to "sit out" the job search. Rather they are not counted when their unemployment benefits run out. This does not mean that they have stopped looking or are unwilling to work. The corresponding rise in part time work suggests otherwise.

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