Youth disconnect could create ‘less-skilled workforce’ – Dallas Fed

Declining labour force participation is detaching younger people from work, authors find

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The main reason for a rise in “disconnected youths” is decreasing US labour force participation, researchers with the Federal Reserve Bank of Dallas find in new research.

School enrolment rates have been stagnant, researchers Anna Crockett and Xiaohan Zhang say. But labour force participation in the youth subgroup has been consistently dropping. They note many youths opted out of both school and labour during the pandemic.

“When disengaging from these wealth- and income-building opportunities

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