Unemployment Rate Lies More than a Little Misleading

Our Take!

For decades, both Democrats and Republicans have been scamming the American people (along with the help of the media) into believing that the unemployment rate is accurate. Newsflash! The unemployment rate is a big, fat, ugly lie. Not only does it fail to actually capture the number of people who are unemployed, it’s dreadful at indicating the quality of the economy because it fails to show how many people have lost significant hours, wages, or benefits. It also doesn’t count someone who has given up looking for work, even if they are perfectly healthy, as “unemployed.” It’s time this archaic system gets tossed in the dumpster forever. Wake up America.

By Justin Haskins, The Daily Caller:The Bureau of Labor Statistics (BLS) released its January 2015 report this morning, and on the surface the situation looks good for the Obama administration: 257,000 jobs were added in January, wages improved, and the number of full-time workers increased. The unemployment rate did go up by 0.1 percentage point, to 5.7 percent, but analysts agree this is the result of more Americans looking for jobs, not a slowing economy.

Although the BLS report presents multiple positive economic indicators, the truth is that all of them, especially the unemployment rate, mask serious concerns about U.S. economic growth. When more precisely analyzed, it’s clear the economy is not improving nearly as quickly as President Barack Obama would have the nation believe.

One of the best indicators of this is the labor force participation rate (LFPR) — the percentage of the available population considered to be working or looking for work. One of the primary reasons the unemployment rate dropped so significantly from the 10 percent mark it reached at the height of the recession in 2010 is that the percentage of the population considered to be in the labor pool declined greatly.

The LFPR for January was 62.9 percent, the lowest participation rate for the month of January since 1978, and the number of Americans not in the labor force reached 93 million for the first time ever. Incredibly, there are now 12 million more people not in the U.S. labor force compared to when Obama first took office in 2009.

[Published by The Daily Caller, read more here]

Justin Haskins

Justin Haskins is a pro-liberty writer, editor, research fellow, and the editor-in-chief of the New Revere Daily Press. Haskins has been published hundreds of times in major digital and print publications, including The Wall Street Journal, New York Post, Forbes, FoxNews.com, Newsweek, and National Review, among many others. His writing has also been featured or discussed by the White House, The Rush Limbaugh Show, Glenn Beck Radio Program, the Fox News Channel, The New York Times, The Heritage Foundation, Drudge Report, and Newsmax, which named Haskins one of "Top 30 Republicans Under 30" in 2017. He lives in North Carolina and New England with his wife, Dr. Jacquelyn, and his dog Roxy. Follow him on Twitter @JustinTHaskins.
Justin Haskins