US Unemployment Rate Falls to 7.6 Percent but Job Growth Slows
Unemployment Rate Falls to 7.6 Percent The US unemployment rate fell to 7.6% in March, the lowest since December 2008. The unemployment rate is the ratio of unemployed persons to the labor force. The decrease in the unemployment rate was largely due to withdrawals from the labor force, which decreased by 496,000 for the month. The number of employed workers fell by 206,000 and the number of unemployed fell by 290,000 The unemployment rate is based on a survey of households that includes self- employed and farm workers April 5, 2013 Ed Dolan’s Econ Blog
Broad vs. Standard Unemployment Rate The BLS also provides a broader measure of job-market stress, U-6 The numerator of U-6 includes Unemployed persons Marginally attached persons who would like to work but are not looking because they think there are no jobs, or for personal reasons Part-time workers who would prefer full-time work but can’t find it The denominator includes the labor force plus the marginally attached U-6 fell to 13.8 percent in February, its lowest since the recovery began April 5, 2013 Ed Dolan’s Econ Blog
Job Growth Slows Sharply in March According to a separate survey of employers, which excludes self- employed and farm workers, the economy added just 88,000 payroll jobs in March That marked a sharp decrease from the 268,000 added in February Most of the new jobs were in the private service sector. Jobs in goods producing sectors barely increased, and government employment fell April 5, 2013 Ed Dolan’s Econ Blog
Long-term Unemployment Remains Stubbornly High The recession and slow recovery have been characterized by unusually high levels of long-term unemployment The percentage of the unemployed out of work for 27 weeks or more fell slightly to 39.6 percent in March, but remained above the low reached in January The mean duration of unemployment increased to 37.1 weeks and the median duration to 18.1 weeks April 5, 2013 Ed Dolan’s Econ Blog
Involuntary Part-Time Falls to a Low for the Recovery The number of people working part time for economic reasons has also been unusually high throughout the recession and recovery These people are sometimes called “involuntary” part-time workers to distinguish them from people who regularly work part time because of family or personal obligations, school or training, retirement, and other reasons Involuntary part-time workers decreased to 4.9 percent of the labor force in March April 5, 2013 Ed Dolan’s Econ Blog
The employmentsituation at a glanceThis spider chart summarizesthe employment situation forMarch 2013The zero mark in the centerof the chart represents theworst month for each indicatorsince the start of the recessionThe 100 mark represents thebest month for each indicatorimmediately before the onset ofthe recession
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