Friday, September 7, 2012

The Government Released the August 2012 Jobs Report this Morning (7 Sep); Here's the Old Colonel’s Good News - Bad News Analysis

How do you cure the common cold? Turn it into pneumonia! How does Obama lower unemployment? Shift people from the labor force to unemployment and welfare!

This morning the Government released the August Employment Numbers and here’s my analysis of them:

The Good News: Unemployment fell to 8.1% this week.

The Bad News: Unemployment fell because 368,000 people gave up looking for work so are no longer searching for jobs; the unemployment rate only counts those seeking work. At this rate, the Unemployment Rate and the Labor Force Participation Rate would converge at ZERO if there were to be an Obama second term.

More Bad News: 41,000 fewer jobs were created in July and June than first estimated so the economy has added a paltry 139,000 jobs a month since the beginning of the year, well below the 153,000 2011 average.

More Bad News: The proportion of the population working or looking for work fell to 63.5 percent; the lowest level in 31 years for the Labor Force Participation Rate.

More Bad News: Hourly pay fell, manufacturers cut the most jobs in two years and the number of people in the work force dropped to its lowest level in 31 years.

More Bad News: Average hourly wages dropped a penny.

More Bad News: The average work week in July and August has fallen to just 34.4 hours and the number of temporary jobs fell for the first time in 5 months.

More Bad News: Many of the jobs were in lower-paying industries such as retail, which added 6,100 jobs, and hotels, restaurants and other leisure industries, which gained 34,000. Higher-paying manufacturing jobs fell by 15,000, the most in two years.

More GOOD News: If we can hold on until 20 January 2013, Help is on the way in the form of a Romney-Ryan pro-growth, business friendly Administration.

For a full discussion of Obama's Job performance, check out my earlier old-soldier-colonel.blogspot article: How do you cure the common cold? Turn it into pneumonia! How does Obama lower unemployment? Shift people from the labor force to unemployment and welfare!