Key Obama economic adviser Larry Summers coined a telling way to look at the current American economic state of play. He said the U.S. is experiencing a “statistical recovery and a human recession.”
It is a phrase that should resonate through much of the industrial world, where high and long-standing unemployment is increasingly becoming a huge domestic political issue.
Speaking on a panel at the annual meeting of the World Economic Forum in Davos, Summers said one in five American men aged 25 to 54 are unemployed. He said given a “reasonable recovery,” that rate could improve to one in seven or one in eight. That still contrasts with a 95% employment rate for that group in the mid-1960s.