Saturday, September 3, 2011

job growth = 0 in August

ZERO job growth in August-- while June and July numbers are revised (significantly) downward.

The WSJ's Justin Lahart has an article on a less common statistic/proxy for the sad state of affairs in labor markets: the proportion of adults working.
The employment-to-population ratio stood at just 58.2% in August, according to the Labor Department, a hair above the 28-year low it fell to in July. That is down from 62.7% in December 2007, when the last recession started, and below the all-time high of 64.7% it reached in 2000...It isn't unusual for the ratio to decline during a recession, since that is when it is harder to find work. What is unusual is for it to go lower through a recovery, as it has for the past two years...
The ratio has fallen for people from all walks of life, but some groups have been hit harder than others. For example, the ratio for men has fallen to 63.6% from 69.4% when the recession started, compared with a smaller drop for women, albeit from a lower base, to 53.1% from 56.5%. The shares of young people, blacks and the less educated have all fallen sharply.
This WSJ article, by Sudeep Reddy, has some good info, including a terrific comparison to other recessions.
The primary jobs problem, going forward, is that with the debt run up by our leaders, we'll need to cut spending (tough on public-sector jobs) or increase taxes (really tough on private sector jobs). State/local govt will continue to struggle, including lay-offs. And with the debt, the ability to "stimulate" short-term-- even if that were desirable-- is greatly reduced.
Thank you to President Bush, Congress, and especially President Obama-- friends of the working class-- and to all Keynesians!

Choose your favorite, famous related movie line:
a.) thank you sir, may [we] have another
b.) you'll get nothing and like it!
c.) other (make suggestions)


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