The effect of changing demographic composition on recent trends in underemployment.

The effect of changing age-sex composition on trends in unemployment and underemployment from 1969 to 1980 is estimated. This effect is positive as anticipated, but negligible in both absolute and relative terms. For example, no more than .35 percent of the increase in unemployment between 1969 and 1980 can be attributed to compositional factors. The secular rise in unemployment and underemployment from the late 1960s into the 1980s simply cannot be attributed in any substantial way to the changing demographic composition of the labor force.