Is Skill Mismatch Impeding U.S. Economic Recovery?

Abstract

As the labor market continues its slow return to health following the Great Recession, economic policymakers have been concerned that unemployed workers do not have the skills required for the jobs that employers would like to fill. In this article, the author reviews available evidence and finds little empirical basis for the view that skill mismatch has impeded U.S. economic recovery. She then considers why the widespread perception of serious skill mismatch is so much at odds with what the data suggest. The article concludes with a brief discussion of implications for policy.