Even though more and more Americans are falling out of the labor force, the unemployment figure the government uses to make it look like the economy is the best it’s ever been, remained unchanged from the month prior. CNS News reported:
The number of Americans 16 years and older who did not participate in the labor force–meaning they neither had a job nor actively sought one in the last four weeks–rose from 92,898,000 in February to 93,175,000 in March, according to data released today by the Bureau of Labor Statistics.
That is the first time the number of Americans out of the labor force has exceeded 93 million.
Also from February to March, the labor force participation rate dropped from 62.8 percent to 62.7 percent, matching a 37-year low.
Five times in the last twelve months, the participation rate has been as low as 62.8 percent; but March’s 62.7 percent, which matches the participation rate seen in September and December of 2014, is the lowest since February of 1978.
In March, the civilian noninstitutional population was 250,080,000 according to BLS. Of that 250,080,000, 156,906,000 — or 62.7 percent — participated in the labor force, meaning they either had or job or had actively sought one in the last four weeks.
Of the 156,906,000 who did participate in the labor force, 148,331,000 had a job and 8,575,000 did not have a job but actively sought one. The 8,575,000 are the unemployed. They equaled 5.5 percent of the labor force—or the unemployment rate of 5.5 percent (which matched the unemployment rate seen in February 2015).
It’s the same game they play every month. The one number they focus on is the “unemployment” figure, which in fact doesn’t take into account all those who are unemployed. While those who have fallen out of the labor force include retirees who are done working, it also includes those who have given up looking for work.
The numbers also don’t consider those who are “underemployed”; that is, they previously had a full-time job, but have since been laid off and have had to settle with one or two part-time jobs that are collectively yielding smaller incomes than what they had been used to under previous employment.
These issues are important when analyzing the health of the economy. The BLS and media are deliberately leaving out this data that would cast a much more negative (and realistic) light on our current economy.
The BLS isn’t so much cooking the books as it is just publishing the numbers that are smallest. It gives the impression that the economy isn’t really all that bad after all, and we can all thank Obama for his tremendous effort to create jobs. Choosing the lower numbers also has the effect of creating an artificial bump in the stock market.
But it’s all a façade. People are dropping out of the work force, because businesses are crumbling under the burdensome taxes, regulations and mandates. The only way to get the economy going again is for the government to get out of the way.