The Long Job Hunt

Although the country is adding jobs again, for the moment at least, Daniel Indiviglio reminds us of the dismal long-term unemployment rate:

In the early 1980s, the national unemployment rate actually rose to 10.8% -- higher than the max of 10.1% this recession hit in October. Yet, during the early-80s recession the percentage of unemployed who remained jobless for at least 27 weeks topped off at just 26% -- far lower than the 46% in April.

The reason for this high duration is likely due to the structural unemployment caused by some industries undergoing significant changes during this recession. Construction and anything else real estate related, in particular, stand out. The unemployment in most recessions is largely cyclical in nature.