European Shadow Unemployment Is a Real Problem

Source: Ludwig von Mises Institute
by Daniel Lacalle

“The United States jobs figures are constantly dissected by analysts and there is a healthy criticism in independent research which certainly helps enormously when it comes to understanding the health of the labor market. However, in the European Union things are much worse. The latest unemployment figures are very concerning, but what is even more worrying is to analyze the ‘shadow unemployment.’ In its latest Economic Outlook or Europe 2023-24 report, UBS shows the significant difference between official unemployment in the euro area and the hidden unemployment coming from furloughed jobs and unoccupied workers that do not count as official unemployed.” (01/25/23)