unemployed 27 weeks or more and the labor force participation rate behaved

Unemployed 27 weeks or more and the labor force

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unemployed 27 weeks or more, and the labor force participation rate behaved since 1970, over the business cycle, and their current approximate values. (notes) o Behaviors since 1970: Labor force: general upward trend since 1970, but currently falling over business cycle: shrinks during recessions (Approximate value ~ 157,000 thousands of persons) Employment: general upward trend. Over business cycle: falls during recessions, rises during expansions (Approximate value ~ 152,000 thousands of persons) Unemployment: moves up and down @ various times Over business cycle: spikes during recessions Unemployment Rate: Spikes @ various times, but overall stays fairly constant. Over business cycle: spikes during recessions U-6- started keeping track during the 1990’s Since 1990’s: fairly constant, aside from the great recession Over Business Cycle: SPIKES during recessions % Unemployed > 27 weeks Since 1970: Spikes at random times. Over business cycle: no general trend
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To be able to explain labor market turnover -- i.e. job creation and destruction over time. (Ch. 9.1) o Since 1970: grew until 1997ish, then started to fall and continues to fall. Over business cycle: no general trend To be able to use Okun's Law to explain the relationship between unemployment and real GDP. (notes) o % Change Y = 3 – 2 %Change U o ***Real GDP needs to increase @ a certain rate in order to increase unemployment*** To be able to explain basic facts about the business cycle, including how real GDP and the unemployment behave during the business cycle, and how the 2007-2009 recession (sometimes called the "Great Recession") and its aftermath compares to other downturns. (Ch. 10.3 and notes)
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