Employment, income in India during and after lockdown: A V-shape recovery?

As India emerges from its long lockdown, several indicators have suggested signs of a V-shape recovery. One such indicator is the unemployment rate. After skyrocketing to nearly 25 per cent in April and May, the unemployment rate returned by July to its February level of around 7 per cent where it has remained since.

However, the unemployment rate provides an incomplete picture of labour market conditions and of the ongoing experiences of Indian households. It calculates employment as a share of the labour force, which only includes those that are employed and those that are actively looking for work. A