Labor Force Participation
Brainomics Issue 4Open Printable PDFThe U.S. has much lower labor force participation than the average for the OECD and about 11% lower than top-ranked Sweden: 89% vs. 78%.1 This low participation has a big effect on GDP and our growth potential2 – if we had the same participation rate as Sweden, the economy would be $1.7 trillion bigger, about 6%. This all seems strange given that the U.S. labor force works about as hard as any nation, and work is highly valued here. We need to know why U.S. workers are out of the labor force. The usual explanations – demographics, retirement, taking care of family – do not really add up for the Brainomics team. Instead, we think a more likely explanation is that many Americans are out of the labor force because of brain health challenges – with our high rates of depression and excess stress. Unfortunately, there is not enough research connecting brain health and the impact on the domestic economy, but some learnings come from Sweden. Sweden had similar challenges in 2013 and decided to do something about it in 2015, implementing a focus on brain health for all. The result has been a dramatic rebound in participation and an increase in economic vitality.“”
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- OECD. (2024). Labor force participation rate. OECD Data. doi: 10.1787/8a801325-en
- U.S. Bureau of Labor Statistics. (2023, September). Labor force and macroeconomic projections and highlights. Monthly Labor Review
- Greenwood, K. and Anas, J. (2021, November 15). It's a new era for mental health at work. Harvard Business Review