Adjusted employment-to-population ratio as an indicator of labor market strength

Arbeitspapier

As a measure of labor market strength, the raw employment-to-population ratio (EPOP) confounds employment outcomes with labor supply behavior. Movement in the EPOP depends on the relative movements of the employment rate (one minus the unemployment rate) and the labor force participation rate. This paper proposes an adjustment to the calculation of the EPOP using individual microdata to account for both individual characteristics and the probability of labor force participation, which can used to assess the strength of the labor market.

Object Details

• Language: Englisch

References and Relationships

• Bibliographic citation: Series: Working Paper ; No. 2014-8

Classification and Topics

• Classification: Wirtschaft ; Unemployment: Models, Duration, Incidence, and Job Search ; Labor Force and Employment, Size, and Structure ; Demographic Trends, Macroeconomic Effects, and Forecasts
• Subject: EPOP ; employment-to-population ratio ; labor force participation ; unemployment rate ; employment rate ; structural versus cyclical

Contributors, Places and Time

• Event: Geistige Schöpfung
• (who): Hotchkiss, Julie L.
• Event: Veröffentlichung
• (who): Federal Reserve Bank of Atlanta
• (where): Atlanta, GA
• (when): 2014

Further information

• Handle: http://hdl.handle.net/10419/101034
• Last update: 10.03.2025, 11:44 AM CET