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When Low Unemployment Is Bad News

When it comes to people dropping out of the labor force, the U.S. is probably just getting started.

Almost 350,000 American workers dropped out of the labor force in November, according to new data from the Bureau of Labor Statistics. That's four times the number of net new jobs that month. So although the unemployment rate fell to 6.7 percent, overall the report wasn't good news.

Here's what's even scarier: When it comes to people dropping out of the labor force, the U.S. is probably just getting started. Rather than find jobs, a wave of unemployed Americans is likely to stop looking for work as a result of the expiration of extended federal unemployment benefits on Jan. 1.