Ed Dolan — Deconstructing ShadowStats (Part 2): In Search of an Alternative Measure of Unemployment

A few weeks ago, I posted a critique of the alternate inflation measure devised by John Williams for his popular website ShadowStats.com. Several responders asked if I could also comment on Williams’ alternate unemployment rate....

Here, reproduced with permission is the latest unemployment chart from ShadowStats. Like William’s inflation rate, his unemployment numbers run far higher than the official data from the Bureau of Labor Statistics (BLS). This post addresses two questions: First, what is the intended purpose of the ShadowStats alternate unemployment indicator? Second, given what it tries to do, is it calculated in a reasonable way?

Economonitor —Ed Dolan's Econ Blog
Deconstructing ShadowStats (Part 2): In Search of an Alternative Measure of Unemployment

Ed Dolan