Investor scepticism about much of China’s economic data is deep-rooted and the unemployment figures have long been considered among the worst of the lot. So the release this week of a new, survey-based unemployment measure could have been an important step forward. But the new index shows only a little more movement than the old one: unemployment has been steady at 5%, give or take very little, throughout the past few years. There is nothing here to signal the cyclical health of the economy. For what it’s worth, our preferred labour market indicators point to conditions being healthy. The ratio of job openings to job seekers is at a record high and wage growth remains fairly rapid. But the lack of useful unemployment data creates a blind spot over an important part of China’s economy.
Become a client to read more
This is premium content that requires an active Capital Economics subscription to view.
Already have an account?
You may already have access to this premium content as part of a paid subscription.
Sign in to read the content in full or get details of how you can access it
Register for free
Sign up for a free account to gain:
- Unlock additional content
- Register for Capital Economics events
- Receive email updates and economist-curated newsletters
- Request a free trial of our services