Assignment Task: Please read the recent article linked below about unemployment and answer the following questions.
Q1. What is currently happening with unemployment? Why?
Q2. The article talks about the Fed watching unemployment and participation rates very closely. Why?
Q3. Many people believe that the Help Wanted signs that can be seen on many stores is a sign of higher than usual unemployment yet the unemployment rate mentioned in the article seems to be fairly low. How could we possibly reconcile a sizable number of job openings with a low unemployment rate? (Hint.... Think about the definition of unemployment). Note: The reasons for not coming back to the job market are very complex and are not just caused by stimulus. This is something we can talk more about in class.
Review Article: U.S. labor market near maximum employment despite December payrolls miss By Lucia Mutikani