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Fewer Americans employed and the unemployment rate drops?

Fewer Americans employed and the unemployment rate drops?

Dec. 7, 2012, Fairfax, VA—Americans for Limited Government President Bill Wilson today issued the following statement on November’s unemployment rate:

“122,000 fewer Americans had jobs in November than in October, yet the government reports that the unemployment rate declined to 7.7 percent.  This simple fact is why the unemployment rate has become one of the least relevant economic statistics that the federal government releases.  Instead of being a benchmark for the nation’s employment situation, Instead of being a benchmark for the nation’s employment situation, the unemployment rate has become nothing more than a statistical anomaly.  Anyone who continues to take it seriously as a meaningful measure of our nation’s economy is either fooling themselves or trying to fool others.”

Below is the data from Schedule A of the Labor Department unemployment report (bolding added for emphasis):

Employment Situation Summary Table A. Household data, seasonally adjusted

HOUSEHOLD DATA
Summary table A. Household data, seasonally adjusted

[Numbers in thousands]
Category Nov.
2011
Sept.
2012
Oct.
2012
Nov.
2012
Change from:
Oct.
2012-
Nov.
2012
Employment status
Civilian noninstitutional population 240,441 243,772 243,983 244,174 191
Civilian labor force 153,937 155,063 155,641 155,291 -350
Participation rate 64.0 63.6 63.8 63.6 -0.2
Employed 140,614 142,974 143,384 143,262 -122
Employment-population ratio 58.5 58.7 58.8 58.7 -0.1
Unemployed 13,323 12,088 12,258 12,029 -229
Unemployment rate 8.7 7.8 7.9 7.7 -0.2
Not in labor force 86,503 88,710 88,341 88,883 542
Unemployment rates
Total, 16 years and over 8.7 7.8 7.9 7.7 -0.2

Interview Availability: Please contact Rebekah Rast at (703) 383-0880 or at rrast@getliberty.org to arrange an interview with ALG President Bill Wilson.

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