Friday, September 6, 2013

Where did the missing 312,000 people from the Labor Force go last month? I know where 80,000 of them went but not the rest. I am worried about them. See here why.

In July and August the latest jobs report shows 312,000 FEWER people counted as a part of the labor force (either were working and retired or were not working and exited the labor force, or became "disabled" and started collecting benefits).  The number is highlighted in yellow.

Much has been made of the fact that this is due to demographic trends---aging baby boom population retiring in large numbers and as that same group gets older they are susceptible to work related injuries. 

I have not doubt this is true. Just wondered how many of those 312,000 were a part of this demographic group?

Took a screenshot of the data from the Social Security Online database of the data isolated just for people who officially retired or started collecting disability benefits.

Look at the highlighted numbers for July and August. Subtract the two and you get 79,813. Subtract that from 312,000 and you have 232,187 people who exited the workforce for reasons OTHER than the ones stated above.

That's a lot of people.  Why did they exit and where did they go?  Have not seem any solid  analysis from real economist yet on that question.  

View My Stats