States and Structural Unemployment

by Karl Smith, Modeled Behavior Editor’s Note: Some references for readers who need background on the concept of structural unemployment would include Wikipedia, Paul Krugman and Gary Becker/Robert Posner. One reason to think that this recession is not structural, at least in the way that some people have argued, is to look at state-by-state performance. …

Structural Shifts: Comparing the Last Two Recessions

by Karl Smith, Modeled Behavior Dave Altig offers the following If you try, it isn’t too hard to see in this chart a picture of a labor market that is very close to “normalized,” excepting a few sectors that are experiencing longer-term structural issues. First, most sectors—that is, most of the bubbles in the chart—lie …