1. Unemployment Rate Looking at more than just the number….

2. How Is Unemployment Measured? The unemployment rate is calculated as the percentage of the labor force that is unemployed Unemployment Rate = # unemployed Labor force  100 Labor Force = # people over 16 with jobs + # people looking for jobs

3. Calculating Unemployment AdultPopulation (251 million) Labor Force (157 million ) Employed (149.0 million) Not in labor force (94.0 million) Unemployed (8.0 million) 8.0/157 = = 5.1% # Unemployed ----------------------- Labor Force

4. Analyzing more than just one number… Great Recession 10.2% 5.1% On the surface, the unemployment number looks very good, but……

5. 62.6% # Unemployed Workers ----------------------------- = Unemployment Rate Size of Labor Force

6. Reading: Labor Force Participation Conclusions: falling labor force participation rates make the unemployment rate look significantly lower than it is –One factor in why GDP is only growing at +2.0%

7. + --- Economy Today? 2015

8. Boomerang Kids http://www.pbs.org/newshour/bb/business/ jan-june12/makingsense_02-14.htmlhttp://www.pbs.org/newshour/bb/business/ jan-june12/makingsense_02-14.html

9. U.S. Business Cycle 1990 -2015 ? 2000 1990’s Technology Boom 2001 2006 Housing Bubble 2008-09 2015 Great Recession Internet Stock Collapse