Another month, another time the Obama administration wants you to
"not to read too much into any one monthly report". The worst part about today's bad jobs report is the truth is even worse. As I have mentioned many times in the past, the current unemployment rate is being reduced by people simply leaving the workforce, not by the job market actually recovering. If you assume the labor force participation rate is actually the same as when Obama was elected, the current unemployment rate is actually 11.3% and not 8.2%. Also, Obama has had little to no success in bringing this level down as it's still very close to the peak. See the chart below where the blue line is the real unemployment rate which takes into account the decline in the labor force participation rate and compare that with the red "official" rate:
Using this data, I also decided to calculate the number of unemployed by taking my adjusted labor force figures and subtracting out the number employed. This essentially gives me the number officially unemployed + those that have dropped out of the labor force since Obama became President. Again, further proof Obama has made no progress in tackling unemployment:
As you can see, we've had about 18 million people unemployed for the last 2.5 years and Obama has been completely unsuccessful in his attempts to make their lives better.
All indicators that we are having a recovery are just statistical nonsense.
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