More People Disappear from the Labor Force in January

Discussion in 'Economy' started by boedicca, Feb 4, 2011.

  1. boedicca
    Offline

    boedicca Uppity Water Nymph Supporting Member

    Joined:
    Feb 12, 2007
    Messages:
    41,758
    Thanks Received:
    12,761
    Trophy Points:
    2,250
    Location:
    The Land of Funk
    Ratings:
    +22,700
    The Obama Administration is sure to spin the January jobs report as an improvement in the economy due to the headline figure of 9% unemployment, but the data bely a moribund jobs environment:

    The Labor Force SHRANK by 504K in January.

    Those who are not in the labor force increased by 319K (the full year increase is 2.2M).

    The Civilian labor force participation rate dropped from 64.3 to 64.2 (in January 2010 it was 64.8).

    Total non-farm employment increased by 36K, less than 1/3 the amount needed to just keep up with population growth.

    The only reason unemployment has fallen is that more people have given up and are no longer counted by the government among the labor force and the unemployed.


    http://www.bls.gov/news.release/empsit.a.htm
     
    Last edited: Feb 4, 2011
  2. Trajan
    Offline

    Trajan conscientia mille testes

    Joined:
    Jun 17, 2010
    Messages:
    29,048
    Thanks Received:
    4,751
    Trophy Points:
    48
    Location:
    The Bay Area Soviet
    Ratings:
    +4,756



    yup heres a quick hit form Zero hedge...

    At 64.2%, the labor force participation rate (as a percentage of the total civilian noninstitutional population) is now at a fresh 26 year low, the lowest since March 1984, and is the only reason why the unemployment rate dropped to 9% (labor force declined from 153,690 to 153,186). Those not in the Labor Force has increased from 83.9 million to 86.2 million, or 2.2 million in one year! As for the numerator in the fraction, the number of unemployed, it has plunged from 15 million to 13.9 million in two months! The only reason for this is due to the increasing disenchantment of those who completely fall off the BLS rolls and no longer even try to look for a job. Lastly, we won't even show what the labor force is as a percentage of total population. It is a vertical plunge.

    graph charts more at -
    Labor Force Participation Plunges To Fresh 26 Year Low | zero hedge

    we created only 36K jobs, we need 135-150k to just employ new entrants, the labor force has magically shrunk again by 500k and the unemployment rates drops almost half a percent, It doesn't even make intuitive sense , at all.....folks, is there any wonder at all why people don't trust the gov.? seriously?

    and yes this BS B.L.S. hide the salami game stared with Clinton in earnest and yes Bush used it too, I don't see this as a partisan issue.
     
    Last edited: Feb 4, 2011
  3. Madeline
    Offline

    Madeline BANNED

    Joined:
    Apr 20, 2010
    Messages:
    18,505
    Thanks Received:
    1,624
    Trophy Points:
    0
    Location:
    Cleveland. Feel mah pain.
    Ratings:
    +1,624
    Sadly, this would appear to be correct.
     
  4. boedicca
    Offline

    boedicca Uppity Water Nymph Supporting Member

    Joined:
    Feb 12, 2007
    Messages:
    41,758
    Thanks Received:
    12,761
    Trophy Points:
    2,250
    Location:
    The Land of Funk
    Ratings:
    +22,700
    It's not a partisan issue - but the games started in earnest in the first Clinton administration.

    U3 unemployment is now as credibly as the official inflation rate which excludes FOOD and ENERGY prices.

    I heard some Obama shill on the news last night crow about how consumer spending increased by 4% in December. I bet most of that was fueled by higher food and fuel prices.
     
  5. Madeline
    Offline

    Madeline BANNED

    Joined:
    Apr 20, 2010
    Messages:
    18,505
    Thanks Received:
    1,624
    Trophy Points:
    0
    Location:
    Cleveland. Feel mah pain.
    Ratings:
    +1,624
    From observing my own community, based on local news, I'd say manufacturing is up. Financial services are down. Unemployment is still terribly high and inflation is on the rise.

    But who am I compared to the BLS?

     
  6. Trajan
    Offline

    Trajan conscientia mille testes

    Joined:
    Jun 17, 2010
    Messages:
    29,048
    Thanks Received:
    4,751
    Trophy Points:
    48
    Location:
    The Bay Area Soviet
    Ratings:
    +4,756
    yea well, my question is what if this malaise drags on another year? seriously? we're in 1934, what? another 5 years of this?

    ad let me say I don't get razzled anymore...the AP, et al are all in the tank, i.e. they have over used worn out and beat to death the adjective "unexpectedly".....they have used it so so many times its a running joke now. I am tired of the media taking one or 2 blips and making a mountain out of the mole hill.

    when we have 4%+ qtr growth and 250k jobs a month for a sustained quarter, I'll give obama kudos, until then its all a smoke screen, we are printing money by the bushel and SS is in the red...its not like we are just sitting still and nothing else is happening while we wait for the economy to wake up, our position is weakening and the hole gets deeper every month we don't grow............ you never see that said straight away , anywhere.
     
    Last edited: Feb 4, 2011
  7. LordBrownTrout
    Offline

    LordBrownTrout Gold Member

    Joined:
    Nov 25, 2007
    Messages:
    15,490
    Thanks Received:
    2,962
    Trophy Points:
    280
    Location:
    South Texas
    Ratings:
    +6,352
    Yeah, I thought this was funny. We added 36,000 jobs and unemployment fell? We need to be adding anywhere from 250k to 300k jobs a month just to break even. They can spin this but bs only lasts for so long, then you gotta come clean.
     
  8. Sallow
    Offline

    Sallow The Big Bad Wolf. Supporting Member

    Joined:
    Oct 4, 2010
    Messages:
    56,535
    Thanks Received:
    6,132
    Trophy Points:
    1,840
    Location:
    New York City
    Ratings:
    +7,394
    Sure it is.

    These sort of shennigans were used by the Bush administration to tout it's success.

    And still used by right wing partisans to point out that the Bush economy wasn't as dismal as it was.
     
  9. B. Kidd
    Offline

    B. Kidd Gold Member

    Joined:
    Jun 15, 2010
    Messages:
    12,139
    Thanks Received:
    1,892
    Trophy Points:
    280
    Location:
    Western Lands
    Ratings:
    +6,777
    I'm waiting for TM to post a thread...."Unemployment down to 9%, Economy Still Improving".
     
  10. B. Kidd
    Offline

    B. Kidd Gold Member

    Joined:
    Jun 15, 2010
    Messages:
    12,139
    Thanks Received:
    1,892
    Trophy Points:
    280
    Location:
    Western Lands
    Ratings:
    +6,777

    Some might think that 36,000 jobs is better then nothing, when 36,000 jobs, in the scheme of things, is just a tick above nothing. A healthy economy produces +400,000 jobs monthly.
     

Share This Page