海角大神

'Total unemployment' declines to 16 percent

Traditional unemployment rate declined to 9 percent in February

|
SoldAtTheTop
This chart shows total unemployment from 1965 to February 2011. Unlike traditional unemployment, total unemployment includes all underutilized workers.

罢辞诲补测鈥檚 showed that in February 鈥渢otal unemployment鈥 including all marginally attached workers declined to 15.9% while the traditionally reported unemployment rate declined to 8.9%.

The traditional unemployment rate is calculated from the monthly household survey results using a fairly explicit definition of 鈥渦nemployed鈥 (essentially unemployed and currently looking for full time employment) leaving many workers to be considered effectively 鈥渙n the margin鈥 either employed in part time work when full time is preferred or simply unemployed and no longer looking for work.

The Bureau of Labor Statistics considers 鈥渕arginally attached鈥 workers (including discouraged workers) and persons who have settled for part time employment to be 鈥渦nderutilized鈥 labor.

The broadest view of unemployment would include both traditionally unemployed workers and all other underutilized workers.

To calculate the 鈥渢otal鈥 rate of unemployment we would simply use this larger group rather than the smaller and more restrictive 鈥渦nemployed鈥 group used in the traditional unemployment rate calculation.

------------------------------

海角大神 has assembled a diverse group of the best economy-related bloggers out there. Our guest bloggers are not employed or directed by the Monitor and the views expressed are the bloggers' own, as is responsibility for the content of their blogs. To contact us about a blogger, click here. To add or view a comment on a guest blog, please go to the blogger's own site by clicking on the link above.

You've read  of  free articles. Subscribe to continue.
QR Code to 'Total unemployment' declines to 16 percent
Read this article in
/Business/Paper-Economy/2011/0307/Total-unemployment-declines-to-16-percent
QR Code to Subscription page
Start your subscription today
/subscribe