As the unemployment rate declines, many people assume that the average wage in the U.S. will increase. However, the average doesn't move that fast over a single business cycle. And any movement over the long term is more in favor of high-wage earners than low-wage earners.
Traditionally, research about recessions focused on the big picture—how the overall economy was performing. But recent economic studies have looked at the impact on specific groups. One of the interesting findings is that the highest earners are, by some measures, the most affected by recessions.
In the U.S., the unemployment rate for those under 25 hovers around 14 percent, even though the Great Recession has been over for five years. In some European countries, the rate is three times higher.
Is one method of searching for a job better than another? Do job seekers change their approach when a recession hits?