Friday, September 7, 2012

Real Unemployment Rate Hits 11.7% As Spread Between Reported And Propaganda Data Hits Record

Today's reported unemployment rate: 8.1%. The reason: the labor "participation" dropped to a 31 year low 63.5% as reported earlier. Of course, this number is pure propaganda, and makes no sense for one simple reason: despite the economic collapse started in December 2007, the US civilian non-institutional population since then has grown by 186,000 people every month on average hitting an all time high of 243,566,000 in August. These people need a job, and the traditional shorthand is that at least 100,000 jobs have the be generated every month for the unemployment rate to merely stay flat, let along improve. So what does one get when one uses the long-term average of the past 30 or so years which happens to be 65.8%? One gets an unemployment number that is 45% higher than the reported 8.1%, or 11.7%. That is what the real unemployment rate is assuming the US labor participation rate was realistic and not manipulated by the BLS cronies and the Bank of Spain assisted Arima-X-13 seasonal adjustment models. It also means that, as the chart below shows, the spread between the real and propaganda data hit an all time record, which was to be expected two months ahead of America's banker muppet presidential election.


http://www.zerohedge.com/news/real-unemployment-rate-hits-117-spread-between-reported-and-propaganda-data-hits-record

The lies cooked up by this administration are humongous!
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2 comments:

  1. Live FreeSeptember 7, 2012 at 4:38 PM

    and U6 would be 25%

    ReplyDelete
  2. NohelpSeptember 10, 2012 at 4:41 AM

    Our country could have full employment at anytime by simply making it a real policy goal. The goal of full employment has always been an illusion presented to the 99%. With a true stated and maintained full employment policy then- The threat of dissmisal loses its power for the employee then just goes on to be employed somewhere else. Additionally, with full employment the industrialist loses his demand to lower his taxes so he can create jobs, to lower regulations so he can create jobs,to lower the interest rate so he can create jobs, and to provide subsidies so he can create jobs. You see, full employment is the last thing the industrialist would really desire as a national policy.

    I could have told you many years ago what this policy of believing that the private sector is the only creator of jobs would come to-- it has to over time see a continuing fall in interest rates until they are negative and a fall in taxes to the point that tax income must be given to the industrialist instead of taxed away. We seemed to have arrived at that point now; yet where are the jobs being created? Where is the full employment?

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