Employment From 1968 to 2000 Term Paper

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S. economy has shifted from a goods-producing economy to a service- reducing market particularly in the area of knowledge management / technology. With the introduction of the computer in the 1980s, the information sector dominated economy as a desired service and its appeal has risen ever since.

As the Table shows, there was a deep 1980s recession and then a more shallow 1990s downturn, but following each of these drifts the employment trend again began to rise encouraged by innovation in the IT sector.

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In short, the reasons given for the rise in employment during these years is: 1. Increased wages; 2. Rise in college gradates; 3. Increase in female employment; and 4. The rise of the service sector (particularly IT). This rise in employment, with breaks in the 1980s and a more subdued drop in the 1990s indicate this pattern.

Reference

Lee, D. & Wolpin, K.I. (2005). Accounting for wage and employment changes in the U.S. from 1968-2000: A dynamic model of labor market equilibrium,.....

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