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-------------------- With the day being the first Friday of the month (aside from the 1st of a month), the Bureau of Labor Statistics (BLS.gov) released the December 2011 "Employment Situation Survey", or in short, the Jobs Report. For December 2011, the economy added 200,000 jobs and the unemployment rate ticked down from 8.6% to 8.5%... Reason to celebrate? The Dow Jones Industrial Average closed today, down 55.78 points... So what gives? Well, at face value, this LOOKS like a good report. Adding 200,000 jobs, unemployment rate moves downward... But you have to understand the context of the numbers. For one, the 4th Quarter is highly seasonal due to the "shot in the arm" it receives from the Retail Sector for Holiday shopping. Sure, the BLS has a Seasonal Adjustment applied to their numbers, but it's a statistical assumption made about the entire population. However, all of 2011 had positive job growth. The economy is having some hiring going on after sharp job losses suffered in 2008 and 2009. Where I have concerns, however, is from Americans outright leaving the Labor Force. Remember, the Unemployment Rate only measures those who (1) have a job, (2) are looking for a job, or (3) have made themselves available for a job with the age of being 16 or older. If you say "no" to any of those questions, you DO NOT COUNT. For December 2011, the total Labor Force was 153,887,000 whereas the entire population is about 313,000,000. This count is purposely done to exclude children, retirees, stay-at-home parents, college students, etc. who aren't actively engaged in the job market. For December 2011, even with the supposed job growth, 50,000 people left the Labor Force. Add to this that Part-Time employees remain high, Unemployment recipients, and teenage unemployment remains at all-time highs, the "numbers within the numbers" scare me. Flat hours and flat wages also scare me. It's good for America when signs are being shown that things are improving... But is it natural or is it because the United States is solving a problem caused by Debt with more Debt? We'll see how rising gas prices create issue in the upcoming months... LOOK OUT! CONTACT MR. TITO - Email: [email protected] - Twitter: @titowrestling - Join LoPForums.com: Feedback Thread BLOG is TITO Archive on LoPForums.com © Mr. Tito 1998 - 2011
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