Article: Economics 101: demand and supply.(FED @ ISSUE)

Labor demand has been getting quite a bit of attention lately. Since the latest recession officially ended in November 2001, the media have spent a great deal of ink focusing on slow job growth, and recent labor market performance has actually been something of a phenomenon. More than three years after the end of the recession, the economy has finally reached the number of jobs it had prior to the recession. Replenishing the jobs lost during the 1990-91 recession took about two years.

There are two sides to the labor market, however: the demand for workers (which is the source of job creation) and the supply of workers. The supply--also known as the labor ...

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