Today the new jobs numbers came out. The unemployment rate has dropped to 7.4%. Good news says the Obama administration. Not so fast says I. Following is an article that was published the last time the jobless rate dropped. Read it and then you decide if we as a nation are experiencing economic recovery? Or, are we headed down the same path that Detroit, MI is on to economic disaster? Unemployment Woes: Americans Drop Out Of Labor Force As Job Market Stagnates
The reason why Detroit got into the trouble it's in is because they believed that they were in an economic recovery and it was okay to increase benefits and taxes to pay for them. Many of the liberals believe that today and have no idea why they are bankrupt or how they got that way.
Full time jobs disappearing as businesses move employees to part time because of obamacare. Its not pretty.
. Only 162,000 jobs created, GDP adjusted down. Ugh. We've definitely stabilized, but otherwise we're pretty much laying there. This is now as much psychological as anything else, I'm not sure what pushes us off the fence in one direction or the other. The Fed sees this, so they'll keep printing money. Great. .
We need around 150,000 a month just to keep up with population growth and then you've got to dig into the numbers and find out exactly what sort of jobs we're talking about (temporary, part-time, government, etc..,), my guess is once that is done (even using the faux, later to be revised downward numbers that the labor department usually publishes) we'll find that we have yet another month of real negative job growth and labor force participation will decline. Of course this won't won't stop politicians from waving their pom-poms and trying to spin the actual numbers into something positive, they don't really care if the labor market is improving they only care that they can make people BELIEVE it's improving.
It's the same old DEMENTED story on the unemployment rate. Horrendous employment numbers, yet the UR goes down because so many people 'leave' the job market! That is not the road to recovery. To make matters worst the VAST majority of the 162K people hired were in the low waged increasingly PART-TIME retail and food services industry (you know the industry that is striking throughout the country). Congrats Obama! After 5 years you know OWN this ECONOMY! U.S. Adds 162,000 Jobs, Continuing a Tepid Run - WSJ.com
Well put, if you want to get a better picture of where the labor market stands don't look at unemployment look at civilian labor force participation. Source: Bureau of Labor Statistics Data Notice the steep downward trend since 2008? and that's AFTER blowing nearly a trillion dollars of tax payer money in Keynesian "stimulus" in 2009.
