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HomeGlossaryLabor force participation

Labor force participation

The share of the working-age population that is employed or actively looking for work.

Participation can fall when workers retire, study full time, or stop searching because prospects look bleak—a distinction the unemployment rate alone misses.

Demographics and social norms (especially for women’s employment) have moved participation dramatically across decades.

Why it pairs with unemployment

A stable jobless rate can mask people leaving the labor force. State-level labor data, when available, helps separate cyclical weakness from structural or demographic shifts.

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