Demography 101: Do not ignore age structure

In a campaign speech, Romney announced that the unemployment rate was really 11 percent. He was driven to come up with that number since the unemployment rate fell below 8 percent with the October jobs report. But, he made an error. He ignored the changing age structure, e.g., the leading edge of the baby boomers, who have retired.

This is a good example for a quantitative reasoning class. A fuller explanation of the issue follows in the post by Mulligan.

Fact-Check: An 11 Percent Unemployment Rate?
Catherine Rampell | Economix Blog, The New York Times
October 5, 2012

The Baby Boom and Economic Recovery
Casey Mulligan | Economix Blog, The New York Times
October 10, 2012

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