Methods & Data

Detailed methodology, data sources, and downloadable datasets for the labor market projections

Overview

This project provides 10-year labor supply and demand projections (2024-2034) for AI-relevant occupations across 50 major U.S. metropolitan areas. Unlike traditional "labor shortage" analyses, we frame the question economically:

How many additional workers are needed to meet projected demand while keeping real wages growing at the rate of GDP per capita (~1.5%/year)?

A positive "gap" indicates demand exceeds supply—without additional workers, wages would rise faster than productivity growth. A negative gap (surplus) suggests potential downward wage pressure.

Supply Projections

Data Source

American Community Survey (ACS) microdata from 2013-2023, accessed via IPUMS USA.

Methodology

We use a cohort-based projection model that tracks workers by:

  • Age cohort (5-year bands)
  • Occupation (6-digit SOC codes)
  • Metropolitan area (met2013 CBSA codes)

Entry and exit rates are estimated from observed flows in the 2013-2023 period. Supply projections assume these rates continue through 2034.

Demand Projections

Data Source

Bureau of Labor Statistics (BLS) Employment Projections Program, scaled to metropolitan area level using current employment shares.

AI Exposure Index

Felten, Raj, and Seamans (2021) occupational AI exposure scores, which measure the degree to which AI advances affect task performance in each occupation.

Automation Risk

Frey and Osborne (2017) computerization probability estimates, indicating the likelihood that an occupation's tasks could be automated.

Gap Calculations

The supply-demand gap is calculated as:

Gap = Projected Demand (2034) - Projected Supply (2034)

Where:

  • Positive gap: Additional workers needed to prevent above-trend wage growth
  • Negative gap: Potential worker surplus, possible wage pressure

Gap percentages are relative to 2024 baseline employment.

Scenario Modeling

We provide six scenarios with different demand multipliers by occupation category:

Scenario Description
Baseline BLS projections without adjustment
Rapid AI Adoption High growth in AI/software roles; reduced demand for automatable tasks
Moderate AI Balanced AI integration across occupations
Slow AI Adoption Conservative technology adoption; traditional employment patterns
Green Economy Strong growth in clean energy and infrastructure occupations
Manufacturing Reshoring Increased domestic manufacturing and semiconductor production

Limitations

  • Assumes 2013-2023 entry/exit patterns continue through 2034
  • Does not model inter-occupation mobility or geographic migration
  • AI impact scenarios are illustrative, not predictive
  • Metro definitions use 2013 OMB CBSA codes (met2013)
  • Does not account for potential policy changes (immigration, education, etc.)
  • Current data is MOCK for visualization development

Data Downloads

Download the underlying datasets used in this visualization:

Full Projections Dataset

Complete MSA × Occupation projections with supply, demand, and gap data

JSON • ~500KB
Download

Occupations Reference

AI-relevant occupations with SOC codes, categories, and exposure indices

JSON • ~25KB
Download

Metropolitan Areas

50 MSAs with CBSA codes, population, and regional classification

JSON • ~10KB
Download

Scenario Definitions

Demand multipliers for each scenario by occupation category

JSON • ~5KB
Download

Citation

Bahar, D. (2026). Labor Supply and Demand Projections by Metro and Occupation: A Cohort-Based Approach. Brown University Working Paper.

For questions or collaboration inquiries, contact: dany_bahar@brown.edu