Spader's presentation addressed past and projected movements in the homeownership rate, and Calabria dove into why reversing weak productivity and
the low labor force participation rate are necessary to boost the economy.
Our lowest skill workers already have a relatively
low labor force participation rate and high unemployment even six years into the economic recovery.
Not exact matches
In fact, a large enigma remains unresolved, in that the
labor force participation rate has been trending
lower for a long time and has returned to levels last seen in the 1970s.
As a result, the
labor force participation rate, which measures the percentage of Americans who are working or looking for work, fell to 62.8 % — the
lowest level since 1978.
This data shouldn't change the Fed's interest -
rate strategy, as a rising
labor force participation rate will put a lid on inflation regardless of how it's done, but it should
lower our confidence that the Fed can solve the problem of a bifurcated workforce, in which a large chunk of workers are getting left behind, simply through interest
rate policy.
Then... this is the best part... he made it clear that a 6.5 percent unemployment
rate would not necessarily be the threshold for raising
rates, then went on a long discussion of the conditions under which he would NOT raise
rates, including if the unemployment
rate dropped mostly due to cyclical declines in the
labor force participation rate rather than gains in unemployment, as well as persistently
low inflation.
Economic growth has been falling since 2010 and the economy has been operating below its potential since then; employment growth, particularly full time employment growth has struggled; in 2014 only 121,000 jobs were created; employment growth has not kept up with population growth;
labor force participation has declined to its
lowest level since 2000; long - term unemployment has increased; the unemployment
rate remains stuck at just under 7 per cent, and youth unemployment is at 14 per cent; business investment has stagnated; and Canadians are losing confidence in their economic future.
The
labor force participation rate has not been this
low — 63.3 percent — since 1979, a time when women were less likely to be working.
The unemployment
rate fell to 4.3 percent, its
lowest level since 2001, but for the wrong reason:
labor force participation fell by two - tenths of a percent.
The
labor force participation rate is at its
lowest level since 2002.
Productivity gains have been weak, the
participation rate (meaning the percentage of the
labor force in employment) declined to 62.6 % in June — the
lowest level since 1977 — and hourly wage growth was flat in the same month.
The unemployment
rate was unchanged at 4.9 %, remaining at its
lowest level since 2008, while the
labor force participation rate continued to rebound, rising slightly to 62.9 % as the strong
labor market encouraged more people to start, or resume, looking for jobs.
A large portion of the improvement can be attributed to a decline in the
labor force participation rate, which is at close to a 40 - year
low.
The US has an extremely
low rate of
labor force participation, because there are no jobs to be had, and discouraged workers who can not find jobs are not measured in the unemployment
rate.
The unemployment
rate continued to fall in April, reaching another post-financial crisis
low of 4.4 %, although this was partly offset by a marginal decline in the
labor force participation rate.
That understates the problem as the
labor force participation rate for
low - skill workers is 44.5 %.
There are those who look at the high unemployment
rates and
low labor force participation of
low - skill American workers and current residents and see a
labor shortage.
Flake argues that America needs more
low - skill workers — even though America's
low - skill workforce has the country's highest unemployment
rate and by far the
lowest labor -
force participation rate.
We are almost six years into our economic recovery and the unemployment
rate for our
lowest - skill workers is still 8.4 percent, while the
labor force participation rate for that population is 46.3 percent.
New York's
labor force participation rate dropped to 60.7 percent in 2014, the
lowest level in more than a decade.
At the same time,
labor force participation rates are at an all - time
low and wages are stagnant.
And while refugees ultimately — after a period of six to ten years — have higher
labor force participation and employment
rates, and have similar welfare
participation rates, relative to U.S. - born residents, they often enter the U.S. with
low human capital and language skills and have initially poor
labor market outcomes and high
rates of welfare usage.
The unemployment
rate fell to 5.9 %, its
lowest point since July 2008, but much of the drop in unemployment stemmed from a continuing decline in the
labor force participation rate.
Now this jobs report and the
Labor Force Participation Rate hovering at 40 year
lows there are almost 100 million people in America either unemployed, underemployed, or just given up looking for work.
Given global competition in the
labor markets, if our wages on the
low end don't reduce, isn't that a significant reason why our
labor force participation rate so
low?
Admittedly, however, the fall in number of unemployed was partially due to the
labor force participation rate ticking
lower from 65.2 % to 65.1 %.
And while the jobless
rate ticked
lower from 4.2 % to 4.1 %, that was largely due to the
labor force participation rate deteriorating from 63.1 % to 62.7 %.
The subpar growth reflects weak productivity growth, which has averaged less than 1 % over the past five years, and a
low rate of
labor force participation that remains at levels last seen in the 1970s.
Following the Great Recession, the
labor force participation rate dipped to a historical
low.
The unemployment
rate is
low but the
labor force participation rate is at 40 + year
lows.