[Peace-discuss] "The history of all hitherto existing societies..."

[C. G. Estabrook]

	'No Labor Market Recession For America's Affluent,'
	Low-Wage Workers Hit Hardest: STUDY
	Huffington Post   |  Ryan McCarthy First Posted: 02-10-10 01:00 PM   |

It's truly been a tale of two unemployment crises.

Though the national unemployment rate dipped slightly in January to 9.7 percent, 
a new study suggests that not only have low-income workers been the hardest hit 
by the jobs crisis -- but, shockingly, there has been "no labor market recession 
for America's affluent."

The study from Andrew Sum, Ishwar Khatiwada and Sheila Palma at Northeastern 
University's Center for Labor Market Studies suggests that the unemployment 
problem is largely a problem for low-wage workers (hat tip to the Curious 
Capitalist).

 From the study:

At the end of calendar year 2009, as the national economy was recovering from 
the recession of 2007-2009, workers in different segments of the income 
distribution clearly found themselves in radically different labor market 
conditions. A true labor market depression faced those in the bottom two deciles 
of the income distribution, a deep labor market recession prevailed among those 
in the middle of the distribution, and close to a full employment environment 
prevailed at the top. There was no labor market recession for America's affluent.

At the New York Times, Bob Herbert delved into the study and noted, "The point 
here is that those in the lower-income groups are in a much, much deeper hole 
than the general commentary on the recession would lead people to believe." 
Here's more from Herbert:

The highest group, with household incomes of $150,000 or more, had an 
unemployment rate during that quarter of 3.2 percent. The next highest, with 
incomes of $100,000 to 149,999, had an unemployment rate of 4 percent.

Contrast those figures with the unemployment rate of the lowest group, which had 
annual household incomes of $12,499 or less. The unemployment rate of that group 
during the fourth quarter of last year was a staggering 30.8 percent. That's 
more than five points higher than the overall jobless rate at the height of the 
Depression.

According to the study, approximately 50 percent of households in the bottom 
decile of American income distribution are underemployed; in the second lowest 
decile, 37 percent of households can't find enough work. The authors write: 
"These extraordinarily high rates of labor underutilization among these two 
income groups would have to be classified as symbolic of a True Great Depression."


http://www.huffingtonpost.com/2010/02/10/no-labor-market-recession_n_456797.html

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