Is Job Polarization Holding Back the Labor Market?
Is Job Polarization Holding Back the Labor Market? by Stefania Albanesi, Victoria Gregory, Christina Patterson, and Ayşegül Şahin – New York Fed
“More than three years after the end of the Great Recession, the labor market still remains weak, with the unemployment rate at 7.7 percent and payroll employment 3 million less than its pre-recession level. One possibility is that this weakness is a reflection of ongoing trends in the labor market that were exacerbated during the recession. Since the 1980s, employment has become increasingly concentrated among the highest- and lowest-skilled jobs in the occupational distribution, due to the disappearance of jobs focused on routine tasks. This phenomenon is called job polarization.”
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