Today the new U-3 number was released, and our new official unemployment rate is 5.7%. It was last month sitting at 5.6%. I wrote yesterday about this fiction, and as I wrote this morning about another matter I mentioned it was predictable that leftists couldn't read the simple language, or understand the meaning of same. But, again, this is NOT about Obama. He entirely sucks for other reasons.
Okay, so the rate ticked up 1/10th of 1%. BLS says about 250k people found jobs, but that the rate went up because about 1 million people re-entered the workforce. These are people that were previously excluded from the rate calculation even though they had no job because they had given up looking for work. Now as to why this rate is so useless as a measure of what is actually happening.
We need about 130k new jobs each month just to keep up with population growth. Less than that amount and we are sinking, more than that amount and we are beginning to float. There are about 150 million people in the USA with jobs. If 1 million people re-entered the job hunt and so are now considered unemployed again, and about 250k people found a job last month (forget about FT versus PT, higher wage versus lower wage), and we need about 130k to just keep the rate flat all other things being equal, then an uptick in the rate of 1/10th of 1% isn't possible. It is simple math. The rate should've increased about 6/10ths of 1%, and should've gone from 5.6% to 6.2%, just using simple math applied to the U-3 definition.
Had it I am sure that partisans would've spun it, with Republicans talking about economic collapse, and Democrats talking about this indicating employee optimism and sharply higher hiring. But it does us no good to be fooled, or to delude ourselves.
Even if all you wish to do is confine the discussion to the simple question of "job/no job but looking" as the U-3 rate does, the calculation of it given the claims made by BLS in this report must be flawed. Or the claims made by BLS are themselves flawed. But both can't be correct.
Now this time, if any leftist wants to reply, please for the love of Pete try to focus. This isn't about Obama. This is about a BLS statistic which is meaningless. We should all ignore this idiotic number and look for a new measure of employment health in the USA economy, just like I wrote yesterday, and just like leftists yesterday seemed to entirely misunderstand, thinking instead I was attacking our crappy president over the U-3 number.
I can, and will, criticize this awful president over a boatload of other issues. Just not this one.