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When It Comes to Good Evidence, Benchmarking Is the Gold

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When it comes to good evidence, benchmarking is the gold standard.


Definitions:

Natural Rate of Unemployment

Refers to the level of unemployment consistent with a stable rate of inflation, representing the proportion of the labor force that is unemployed due to factors like job mismatch or natural turnover rather than economic downturns.

Unemployment Rate

The percentage of the labor force that is jobless and seeking employment.

Labor Market

The labor market refers to the supply of and demand for labor, where employees provide the labor and employers provide the jobs.

Labor Underutilization

A broader measure of unemployment that includes not just those actively seeking employment, but also those who are working part-time but prefer full-time work, and those who are marginally attached to the labor force.

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