Another day, another unemployment rate drop that is mostly to do with a huge labor force drop. Ho Hum. And the media will act like 146,000+ jobs for November is the best thing that’s ever happened to America..or something.
Here is Jim Pethokoukis’ take on it:
BREAKING: November Jobs Report: +146,000, 7.7% unemployment rate
— James Pethokoukis (@JimPethokoukis) December 7, 2012
The labor force participation rate dropped to 63.6 from 63.8
— James Pethokoukis (@JimPethokoukis) December 7, 2012
The broader U-6 rate dipped to 14.4% from 14.6%
— James Pethokoukis (@JimPethokoukis) December 7, 2012
"Not in labor force" surged by 542,000
— James Pethokoukis (@JimPethokoukis) December 7, 2012
8.0%: The unemployment rate if Nov. labor force participation had stayed steady since Oct.
— James Pethokoukis (@JimPethokoukis) December 7, 2012
10.7%: Unemployment rate if labor force participation was the same as in January 2009
— James Pethokoukis (@JimPethokoukis) December 7, 2012
Employment growth has averaged 151,000 per month in 2012 vs. 153,000 in 2011
— James Pethokoukis (@JimPethokoukis) December 7, 2012
A decline in U.S. labor force participation indicates the November drop in unemployment is really nothing to write home about.
— Pedro da Costa (@pdacosta) December 7, 2012
For more check out Ed Morrissey’s writeup at Hot Air.