625K People Give Up Looking For A Job

Discussion in 'Economy' started by boedicca, Jul 2, 2010.

  1. boedicca
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    boedicca Uppity Water Nymph Supporting Member

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    At a GDP growth rate of less than 3%, the economy is not creating private sector jobs. In another thread, I commented that one should be careful what one wishes for in lower unemployment rate. If people give up looking, the U3 rate falls, but for a very negative reason.

    That is what is happening with today's announcement. 625,000 gave up looking last month. The barking moonbats are trying to spin this report as being good news because the private sector created 83,000 new jobs. A couple of things to consider:

    - Given population growth, the U.S. economy needs to create 130,000 jobs per month just to keep unemployment constant.

    - It will take at least 400,000 new jobs per month to reduce unemployment to pre-recession levels over a several year period.

    After the Reagan tax cuts went into effect, the economy started growing at 7-9% rates. This is the level we should be seeing now given the depth of the last recession - if Obamanomics actually worked. It doesn't. Obama has wasted ungodly amounts of money with no valid benefit to the private sector and the mass of taxpayers who are saddled with the debt burden.

    The US economy lost 125,000 jobs in June, more than economists had forecast, as thousands of temporary census jobs ended and private hiring grew less than expected.
    Unemployment line

    And though the unemployment rate unexpectedly fell to 9.5% from 9.7%, the lowest in a year, it was largely due to more people dropping out of the labor force.

    The report was the latest sign that the economic recovery may be faltering.

    "Overall what this does is it reinforces the market's view that the U.S. recovery is losing steam,'' said Greg Salvaggio, vice president of trading at Tempus Consulting in Washington.


    News Headlines
     
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  2. Annie
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    Annie Diamond Member

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    and they are ignoring that new filings are up. The economic news is not good.
     
  3. boedicca
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    boedicca Uppity Water Nymph Supporting Member

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    We're headed for an ugly double dip - especially if the Bush tax cuts are allowed to expire.
     
  4. Annie
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    Annie Diamond Member

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    Indeed, the economic news, even from the left has been noting this for days now:

    Job Market "Anemic", Unemployment Rate Falls For "All the Wrong Reasons": Tech Ticker, Yahoo! Finance

    Richard Suttmeier Still Targeting Dow 8500: "But I May Have to Ratchet It Down": Tech Ticker, Yahoo! Finance

     
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  5. kwc57
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    kwc57 BOHICA Obama

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    I keep hearing the voices on the radio talk about "people who have given up looking for work". Everytime I hear it, I scratch my head and wonder, who gives up looking for a job? Do they give up eating, putting a roof over their head, paying the water bill, etc.? I've known a good number of people who have lost jobs over the years as the economy has moved up and down. I had a buddy back in the 80's who was out of work for a year. He cut out a lot of fat by cancelling cable and the newspapaer and eating lots of mac and cheese, but he never quit looking for a job. The guy across the street from me lost his job last year. He's been looking for a job. In the meantime, he has painted a number of the houses in our neighborhood along with doing other pick up jobs.

    Just how does one "give up" looking for a job? Is it forever? I got laid off last year, I've been looking for a job, but I quit.........I'll just squat on my house until I'm kicked out, bum dinner off my family with job and eventually go live in a box and scounge thru trash bins.

    I don't buy the "gave up looking for a job". Bull shit!
     
  6. boedicca
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    boedicca Uppity Water Nymph Supporting Member

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    In some industries, there are just plain no jobs to be had. My guess: someone who has given up looking for work is dealing with the depressing fact that his career is gone and he needs to figure out a new one.
     
  7. WeAreSOHelpless
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    WeAreSOHelpless Rookie

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    This is why we need to approve unemployment benefits indefinately.
     
  8. kwc57
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    kwc57 BOHICA Obama

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    Which is what my friends and acquaintances have done over the years........but they never gave up looking. Since I hear the term mostly on talk radio, my impression is that it is a tactic to claim the unemployment numbers are larger than claimed by the government. Hannity, Ingraham, beck, etc. will say that when you ADD in the folks who have "given up looking for a job", the REAL number is XXX. And each time I ask myself, "who gives up looking for a job"? It isn't logical. It doesn't make sense.
     
  9. boedicca
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    boedicca Uppity Water Nymph Supporting Member

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    Nice try blaming conservative pundits for including discouraged workers in the unemployment figures, but the Bureau For Labor statistics counts such workers in U4 through U6 definitions of unemployment.

    The Bureau of Labor Statistics measures employment and unemployment (of those over 15 years of age) using two different labor force surveys[59] conducted by the United States Census Bureau (within the United States Department of Commerce) and/or the Bureau of Labor Statistics (within the United States Department of Labor) that gather employment statistics monthly. The Current Population Survey (CPS), or "Household Survey", conducts a survey based on a sample of 60,000 households. This Survey measures the unemployment rate based on the ILO definition.[60] The data are also used to calculate 5 alternate measures of unemployment as a percentage of the labor force based on different definitions noted as U1 through U6:[61]

    * U1: Percentage of labor force unemployed 15 weeks or longer.
    * U2: Percentage of labor force who lost jobs or completed temporary work.
    * U3: Official unemployment rate per ILO definition.
    * U4: U3 + "discouraged workers", or those who have stopped looking for work because current economic conditions make them believe that no work is available for them.
    * U5: U4 + other "marginally attached workers", or "loosely attached workers", or those who "would like" and are able to work, but have not looked for work recently.
    * U6: U5 + Part time workers who want to work full time, but cannot due to economic reasons (underemployment).


    Unemployment - Wikipedia, the free encyclopedia
     
    Last edited: Jul 2, 2010
  10. mascale
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    mascale VIP Member

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    (1) A lot people who do Census Work Part Time are retirees. They stop working, and stop looking for work. Much of the job-loss was in Census Workers. It is several hundred thousand people.

    (2) It is not clear whether or not the additional boost of the teachers who personally caused the crisis, now not able to do summer school, are actively out looking for work. They are not a part of the labor force, and estimates suggest there may be a lot of them.

    (3) It is not clear whether or not the 80,000 BP disaster claims include lots of people, looking for work. The news reports seem to indicate that There Is No Work in Bobby Jindal land. Then he even spread it around to other states--refusing to go full blast to try to help stop the crisis from spreading!

    (4) The data is seasonally adjusted, but unusual problems may have skewed it even more.

    "Crow, James Crow: Shaken, Not Stirred"
    (Her Majesty's Government, meddling? And in The (former) Colonies?)
     

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