The Emplyment ratio and the lack of improvement in it may best indicate a slow recover.
Back a month or so ago, at Stanford, Christina Romer said:
Zale Lecture: Let me start with continued high unemployment. This has obviously been a terrible recession. The collapse of the housing bubble and the resulting financial crisis set in motion a horrible decline in spending and employment. Problem. The past two and a half years have been simply wretched for many American families. At its worst, employment was down some 81⁄2 million from its peak. Unemployment hit 10.1%. This truly has been the worst recession in the United States since the Great Depression. Now we started growing again the third quarter of 2009. Employment started expanding about a year later. So far, we have added about 1.5 million jobs. And the unemployment rate has fallen just over a percentage point. That is certainly an improvement, but it is not nearly good enough. The unemployment rate is still 8.8%. More than 13 million Americans are without a job. Six million of them have been out of work for more than six months…
Count me as unimpressed with falls in the unemployment rate 100% of which are declines in labor force participation, and 0% of which are the result of increases in the employment-to-population ratio…
Department of "Ahem!": Unemployment Edition
J. Bradford DeLong
Sat, 11 Jun 2011 02:47:00 GMT