Well, here we are in our (cough, sputter, cough) recovery. And, the news continues to be horrible. At a quick glance, some would say I’m just being a person that sees the glass as half-empty as opposed to half-full. The unemployment rate only inched up to 7.9%, which isn’t any different than what it was in September. But, that’s not what we do here. We look beneath the surface to see what’s going on.
The ESTABLISHMENT DATA table states that we’ve added 157,000 jobs between December and January! Yea!!!! But, is that good news? How much should we be adding? Well, the HOUSEHOLD DATA table says that our Civilian noninstitutional population (16y/o and older) increased by 313,000 people. Our labor force increased by only 133,000 people. For us to simply maintain, we needed to add over 200,000 jobs at a 64% participation rate.
I recently had a post about our participation rate, so I won’t bother with making a new graphic. We can all use our imagination and understand that the downward slope is continuing at a horrid pace.
So, while the unemployment numbers show little change, it only does so because fewer and fewer people are participating in the economy.
I think we’ve entered a new stage in our disastrous economy. Here is the last 5 months of our unemployment rate….. 7.8, 7.9, 7.8, 7.8, 7.9. Indeed, our recovery has now produced 250,000 more unemployed people from September. All the while adding 292,000 more who aren’t even participating. Total for the last 5 months, we’ve increased jobless people by 542,000 people. (unemployed+those not participating) while our possible workforce only increased by 891,000. 350,000 people are supporting nearly 900,000 people, and that doesn’t include children!
It’s fascinating. Many of the same people who support the policies of Obama and the Fed like to use words such as sustainable. Can anyone make a case that this is sustainable? It isn’t. And, this is what our supposed recovery has looked like for a very long time. Maybe if we just print more money…….. dolts.
How long does the American public have to suffer before people realize that the policies aren’t working? We don’t need foodstamps, we don’t need unemployment extensions, and we definitely don’t need QE4 ever, we don’t need stimulus packages. We need wealth creating jobs.