While "jobless recovery" is often discussed in the aftermath of recessions in Western countries, it seems it's always a short-lived phenomenon. On the other hand, it looks like in other parts of the world, e.g. South Africa, Nigeria, or even India have experienced much longer periods of "jobless growth"; e.g. for the latter country:

Jobless growth has surfaced over the past few years as an unsettling element in India's economic picture. The 2011 census showed that the Indian economy grew at an average rate of 7.7% annually over the prior decade, while employment grew by only 1.8%.

So what are the (common) causes of jobless growth in developing countries? And if I'm not wrong about their occurrence in the West, why is it that we don't see such long periods of jobless growth in the West?

  • 2
    $\begingroup$ I would not have thought that the total employed in India is only 3.8–3.9 million. $\endgroup$
    – user18
    Apr 6, 2019 at 1:35
  • $\begingroup$ @KennyLJ: I'll try to find a more reliable source, but I think the data is probably correct, typo asside. $\endgroup$ Apr 6, 2019 at 8:21
  • 1
    $\begingroup$ I really like a recent ReSTAT paper on this: "Job Polarization and Jobless Recoveries". that considers the relationship between the pooling of laborers into the tails of the skill distribution and jobless recoveries. $\endgroup$
    – 123
    Apr 20, 2020 at 11:05


Your Answer

By clicking “Post Your Answer”, you agree to our terms of service and acknowledge you have read our privacy policy.