This can be attributed to the unusual and persistent pattern of declining labor force participation.Historically labor force participation has behaved cyclically in the midst of a slightly declining trend. Participation tends to fall during recessions and rise during recoveries as job prospects improve. But in the current economic cycle the participation rate fell during the recession and continued falling throughout the recovery to date as shown on Chart I attached.As a result, the jobless rate has fallen more quickly and by a larger amount than would be expected if traditional patterns prevailed.
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