One Ugly Jobs Report

Ugh! Friday’s jobs report was ugly. Hideous.

The nation’s unemployment rate is now up to 10.2%, which is the highest in 26 years. Even though the economy may be growing, we’re not creating jobs. Here are some stats to consider. Over the past two years, the number of unemployed has jumped by 8.4 million to 15.7 million. The number of employed has dropped by 7.6 million and only 0.8 million have joined the workforce. Add the two together and you get the 8.4 million increase in unemployment.

However, that 0.8 million increase in the workforce is puny. During the same time, the civilian population grew by 3.8 million, meaning only about one-fifth of the increase joined the jobs market, compared with the historical average of three-fifths.

The ratio of employed to the population is now 58.45%. Nine years ago, it was 64.24%. If we had the same rate today, over 13.6 million more people would be employed.

Comments

[John Galt:]

"If you don't pass my stimulus plan, unemployment might go as high as 8%". RUSH IT THROUGH!

Nov 06 10:16 AM

[dingding:]

And the Wall Street traders respond by pushing the markets up, probably because they feel safer that the Fed will be accomodative for even longer.

Makes me sick.

Nov 06 10:16 AM

[whydtinogo:]

Well the economy is only growing as a direct result of the stimulus, cash for clunkers and arcane GDP accounting that records slower inventory delpetion as an addition to GDP. Under these circumstances is it any wonder jobs are not being created - with 500k new unemplyment clains per week how likely is country wide job creation going to be?

Nov 06 10:35 AM

[ryanclarke:]

What's even worse is it took "cash for clunkers" to make a good GDP number and "slow down" the bleeding in the employment market. But who bought that shiny Ford Focus this summer? The guy with a 1992 Ford van who's been living in it off and on for the past few years. As far as he's concerned ... even though the credit company thinks he owes about $10k on the car ... he thinks he doesn't own a dime, that is, the car is his as long as the repo man can't find him ... the default level on these consumer loans for clunker vehicles is going to be sky high.


On Nov 06 10:35 AM whydtinogo wrote:

> Well the economy is only growing as a direct result of the stimulus,
> cash for clunkers and arcane GDP accounting that records slower inventory
> delpetion as an addition to GDP. Under these circumstances is it
> any wonder jobs are not being created - with 500k new unemplyment
> clains per week how likely is country wide job creation going to
> be?

Nov 06 11:18 AM

[User 295337:]

makes me queasy too.

only problem is...they've been right. so far. as long as everyone keeps coming to the party, and the fed keeps the punch bowl full, there doesn't have to be an end to the good times in sight.

it just may be that you'll have to keep your bull in the ring ready to fight for now, and your bear in the stable waiting for the kill.

On Nov 06 10:16 AM dingding wrote:

> And the Wall Street traders respond by pushing the markets up, probably
> because they feel safer that the Fed will be accomodative for even
> longer.
>
> Makes me sick.

Nov 06 04:02 PM