...for now and, likely, for the foreseeable future.
With this morning's jobs report, the BLS also released revised employment data for 2006...and guess what? Two things turn out to be true: First, health care is the biggest source of new jobs. Second, health care's share of the labor market is rising (see table and chart below)
Both of these facts will be consistent features of the labor market from now on. This is a big change, and reflects the combination of government funding (and borrowing!) for health care and the continued slow growth of other types of jobs.
In effect, we are borrowing from abroad to create healthcare jobs.
In the past, healthcare job growth would lag the rest of the economy when times turned good. For example, in the last expansion, healthcare's share of private employment actually peaked in 1993. This will not happen again.
I will be talking at the National Economists Club next Thursday in DC on the topic: “Will Our Children All Work In Hospitals and Doctors’ Offices?” I believe that my presentation will be available on their site afterwards.
|Health Care is the Biggest Source of New Jobs|
|Health care and social assistance||388|
|Accommodations and food services||380|
|Professional and technical services||280|
|Administrative and waste services||191|
|Transportation and warehousing||116|
|Arts, entertainment, and recreation||60|
|Natural resources and mining||50|
|Management of companies and enterprises||38|