Labor Force Participation Rate

Politics
1

This is from our Federal Government and anyone can look it up.

At the end of various Administrations:

               1952.      59.5

                1960.       59.7

                 1968.       59.6

                 1972.        60.5

                   1976.        61.6

                    1980.        63.9

                    1988.         66.2

                     1992.         66.3

                      2000.         67.0

                      2008.         65.9

                       2016.         62.7

                       2019.          63.3(before Covid)

                       2020.           61.5

                       2023(June).  62.6

Note that we never went above 60% until Nixon. Since then never below that.

The 20 years of Reagan-Bush-Clinton was our apex for Labor participation.

Has never again returned to year 2000 levels.

It’s current level is where Obama left it, below where GWB left it and below where Trump had it in 2019. And below Jimmy Carter in 1980.

A snapshot perhaps helping to explain how many people feel about our Economy, after the largest deficit spending since WW ll.

2

Why do you think it has not gotten back to 2000 levels?

3

Boomers and retirements ? Early retirees, etc

Baby boomers were the largest living adult population until 2019. According to the US Census Bureau, US boomers have remained the second-largest population group in 2022, comprised of 69.6 million people ages 58 to 76.
The boomer generation is a mighty force powering American society and the economy. In comparison to their proportion in the overall population, boomers have oversized representation as S&P 500 CEOs, chief justices, and state governors.

Resident population in the United States in 2023, by generation.

4

Boomers are retiring and some have left the workforce for good after covid.

Anyone that wants a job can get one right now. Jobs aren’t why people think the economy isn’t doing well.

It’s two things. Inflation and this -

https://www.axios.com/2023/07/14/economy-unemployment-inflation-biden

5

There is also the participation rate of women in the work force that may be a factor.

The labor force participation rate of women increased throughout the 1960s, 1970s, and 1980s, and peaked at 60.0 percent in 1999.Jul 1, 2017

6

Our LFPR has been projected to go down for decades. Even so, our LFPR (as of March 2023) is above the latest CBO projection having fully recovered from the temporary pandemic drop.

You know…context.

IMG_3647
IMG_3647781Ă—555 86.9 KB

1 Like
7

Good context and I wasn’t aware of the LFPR trends.

By most measures, it’s a great economy in terms of labor unemployment , wage growth,easing inflation , and great stock market.

Wage Growth Tracker- Federal Reserve Bank of Atlanta.pdf (716.0 KB)

1 Like