In an NYT article discussing the latest data on weekly unemployment claims, Ian Shepherdson, United States economist of High Frequency Economics, is quoting as pointing out that the near record level of unemployment claims are actually not near records when taken as a percentage of the workforce. While this is true, it is also important to note that a much smaller share of the unemployed now qualify for benefits than in the 70s or early 80s. Back then, more than 40 percent of the unemployed typically qualified for benefits. Currently, it is close to 35 percent. This does not offset the 40-50 percent increase in the workforce from this period, but declining rates of eligibility must be noted in such comparisons.
--Dean Baker
