The employment–population ratio measures the percentage of the working-age population that is employed. The employment–population ratio declined by 5 percentage points during the 2007– 2009 recession...

the percentage of the working-age population

that is employed. The employment–population

ratio declined by 5 percentage points during the

2007– 2009 recession and increased only slightly

during the following three years. By contrast, the

unemployment rate declined by 2 percentage

points between 2009 and 2012. Briefly discuss

the pros and cons of using the employment–population

ratio rather than the unemployment

rate to evaluate the state of the labor market.