14 Questions
What shift has the U.S. economy experienced over the past two decades?
From a manufacturing economy toward a service-producing economy
Which industries have seen a rise in job opportunities as manufacturing jobs have decreased?
Technology and financial services
How is information on the labor force collected in the U.S.?
By monthly household surveys from the Department of Labor
What criteria do economists use to consider someone employed?
Meeting at least one employment requirement
What happens to individuals with more than one job according to the text?
They are counted only once
What percentage of the US population was part of the labor force in 2013?
63.2%
As of the data provided, how many million people were employed in the United States in 2013?
144 million
Which group is not considered in the labor force according to the text?
Retirees
What is required for a person to be counted as unemployed?
Having a future job lined up or actively searching for a new job
In July 2007, what was the highest unemployment rate reported?
46.0%
What is one of the key factors contributing to the increase in the service sector in the United States?
Advancements in technology and computers
Between which decades did the largest drop occur in the number of employees in goods-producing industries?
1977-1987
What has been the general trend for the number of employees in goods-producing industries since 1947?
Declined
How many more workers produced services compared to goods in 2005?
Five
Study Notes
The Labor Market Today
- The Bureau of Labor Statistics provides answers to two important economic questions: the size of the labor force and the number of employed and unemployed individuals.
- The percentage of the US population in the labor force has increased from 59.2% in 1950 to 63.2% in 2013.
- In 2013, the number of employed civilians in the United States was close to 144 million.
Composition of US Labor Force
- The labor force consists of 153.9 million individuals, with 139.1 million employed, 14.8 million unemployed, 1.4 million active military, and 5.8 million institutionalized.
- 89.7 million individuals are not counted in the labor force, with 82.5 million considered "other".
Occupational Trends
- The job market grows and changes with the nation's economy and population.
- The unemployment rate is calculated by considering individuals who are temporarily without work or are not working but have looked for jobs within the last four weeks.
- Students, parents who stay at home to raise children, and retirees are not considered unemployed and are not counted in employment statistics.
- The unemployment rate in July 2007 was the highest, at 4.6%.
- The average unemployment rate from 1970 to 2007 was 6.3%.
- In 2008, the unemployment rate increased significantly.
Shift from Manufacturing to Service Economy
- The American economy has transitioned from a manufacturing economy to a service economy, with the production of services increasing faster than the production of goods.
Service Sector
- The service sector includes financial services, banking, education, and online services.
- In 2005, five workers produced services for every one who produced goods.
Decline of Manufacturing Jobs
- The United States has experienced a decline in manufacturing jobs, with 17.7 million Americans working in manufacturing industries in 1990, decreasing to 14.2 million 15 years later.
- Many workers have been laid off due to plant closings.
Change in Industry Since 1947
Employment Trends
- The number of employees in goods-producing industries has been declining since 1947, from 100 million in 1947 to 20 million in 2007.
- The number of employees in service-producing industries has been increasing, from 40 million in 1947 to 100 million in 2007.
Explore how economic trends impact workers, including the shift from a manufacturing to a new economy over the past two decades in the U.S.
Make Your Own Quizzes and Flashcards
Convert your notes into interactive study material.
Get started for free
