| This link summarizes a paper by Erica Groshen and Simon Potter, from the New York Fed, with a further link to the paper itself.
The basic problem is that fewer new jobs are being created. People are searching for work, and not being rehired, it takes time to for them to find work in other sectors. Sometimes people get rehired in their old jobs, that is not happening so much now (nor is the problem an ongoing destruction of jobs). We have been facing "an unusually high concentration of structural changes." And uncertainty about a number of issues, including the Iraq war and corporate governance problems, has hindered new investment. This paper is easy to read, maybe not exciting prose, but the clearest explanation of the jobless recovery that I have seen. -- Posted by Tyler Cowen to The Volokh Conspiracy at 9/4/2003 06:52:03 PM Powered by Blogger Pro |
