Unemployment after 2008 is hidden in a lower labor force participation rate

Eugen G Tarnow  July 1 2015 02:40:39 PM

By Eugen Tarnow, Ph.D.
Avalon Business Systems, Inc.
http://AvalonAnalytics.com

We have all heard that the unemployment has gone back to levels before 2008:



You may also have heard about the labor participation rate declining:



Well if we combine the two, the effective unemployment rate is:



As you can see, it went up after 2008 and reached a plateau in 2010.  It has not gone down since.

• Comments [0]