Today brought another monthly labor report. We heard about the number of jobs "created" and we also got major commentary about how the total "missed" estimates. The actual number was 12000 jobs lower than the average estimate by "experts". That means that the actual result was right on the estimate. Remember, the survey which determines the number of jobs created has an margin of error of =/- 100,000 jobs or so. That means that the 135,000 jobs created according to the survey were actually somewhere between 35,000 and 235,000. A variation of 12,000 from the estimate would happen more than 80% of the time even if the actual number of jobs created (if every one were counter) were exactly the estimated amount.
A second bit of news from the labor report was that unemployment hit the lowest rate in 50 years at 3.5%. Unemployment for blacks and Hispanics again set new records; these rates have never been this low.
One item that gets little coverage is one that is very important. It is known as the U6 measure of unemployment. It measures the percentage of the labor force that is either unemployed or "underemployed" meaning that the people with jobs may be working only part time due to failure to find a full time job or are otherwise discouraged. The U6 for September hit 6.9% which is the lowest rate in almost 20 years. What this means is that not only have jobs been found for the people easiest to employ, but the chronically troubled in the labor force are also finding jobs. Since President Trump took office, the U6 rate has fallen from 9.3% to 6.9%. That is a major change which means that millions of people now have jobs which will supply them with a better life rather than trying to eke out a poor existence on odd jobs and part time work.
We shouldn't let this report go by without noting this.
A second bit of news from the labor report was that unemployment hit the lowest rate in 50 years at 3.5%. Unemployment for blacks and Hispanics again set new records; these rates have never been this low.
One item that gets little coverage is one that is very important. It is known as the U6 measure of unemployment. It measures the percentage of the labor force that is either unemployed or "underemployed" meaning that the people with jobs may be working only part time due to failure to find a full time job or are otherwise discouraged. The U6 for September hit 6.9% which is the lowest rate in almost 20 years. What this means is that not only have jobs been found for the people easiest to employ, but the chronically troubled in the labor force are also finding jobs. Since President Trump took office, the U6 rate has fallen from 9.3% to 6.9%. That is a major change which means that millions of people now have jobs which will supply them with a better life rather than trying to eke out a poor existence on odd jobs and part time work.
We shouldn't let this report go by without noting this.
No comments:
Post a Comment