How much better things would have to be to get everyone back
into the labor pool? The shape of the “demand curve” for labor tells us that,
based on the potential incentives to work. In effect, this number measures how
much labor demand is below its potential.

Estimated Labor Slack vs Nominal Unemployment Rate
click for larger chart

Estimated_labor_slack

Source: BOP

The difference between the Nominal Unemployment Rate and the
Labor Slack Rate can be called "asymetrical unemployment". That is,
the downward pressure on wages created by former or potential workers who have
not entered the labor pool.

Random Items:

Greenspan Pounds Away at Broken Budget Process

Transcripts show Fed worried throughout 1999 market boom

The New Radio Revolution

Pre-modern America 

Gas Getting Pricier, Oil Demand Rises

Ayn Rand at 100

Quote of the Day:

"He who knows nothing is confident of
everything”
-Anonymous 

Category: Markets

The Psychology/Sentiment of Oil

Category: Commodities, Markets, Psychology

Extraordinary Machine

Category: Music

Be Wary of Anything approaching 140% of GDP

Category: Economy, Investing, Markets

Principal Protected Mutual Funds

Category: Investing

What does the World Think of U.S. ?

Category: Media, Politics

262k!

Category: Economy

Nonfarm Payroll data: 15 year chart

Category: Economy

A Few Good Radio Articles

Category: Finance, Media, Music

My expectations about the Jobs Report

Category: Economy, Markets