Drop in jobless rate is because fewer Americans than ever work

Message to the State Controlled Media and American sheeple mind-numbed with American Idol, DWTS, and porn:

The Economy Is Not Improving.

The Economy Is Getting Worse.

The reason why the unemployment rate has dropped to 8.1% in the latest report released last Friday is this:

The government’s jobless rate is not actually a measure of unemployment. Instead, the so-called jobless rate is merely the number of Americans who apply for unemployment benefits. This means that the official unemployment rate does NOT include millions of Americans who are unemployed but who do not qualify for unemployment benefits because they:

  • Were self-employed; or
  • Have exhausted their unemployment benefits; or
  • Have given up looking for work and have dropped out of the labor force entirely.

This is the reason why the official rate of unemployment has “dropped” to 8.1%:

More Americans have dropped out of the labor force and thus no longer qualify for unemployment benefits.

Tyler Durden reports for ZeroHedge, May 4, 2012, that in April the number of people not in the labor force rose by a whopping 522,000 from 87,897,000 to 88,419,000.

This is the highest on record.

The reason why the unemployment dropped to 8.1% is that the labor force participation rate just dipped to a new 30 year low of 64.3%.

These two graphs are the evidence (click graph to enlarge):


If the embedded link to ZeroHedge doesn’t work, here’s the link to the cached copy of the article:

http://www.zerohedge.com/news/people-not-labor-force-soar-522000-labor-force-participation-rate-lowest-1981

~Eowyn

10 responses to “Drop in jobless rate is because fewer Americans than ever work

  1. All I know about this is:

    1. I turned 69 on Feb. 17th;
    2. I started my own business in the Summer 1963, age 19 years;
    3. I live in one of the wealthiest [per capita] cities in Canada, and my business [residential contracting, improvements & upgrades, painting, landscaping, etc.] has been in severe decline for three years, maybe slightly more. I’ve survived four recessions: this is NOT a recession.

    After my divorce and loss of a paid-for house, etc. in April 2010, the economy continued its downward grind. For the past two years I lived on my savings and a COMBINED Soc Sec/Canada Old Age Support of less than C$900 a month. Millions more are in the same plight. We’re living in a time of stagflation [http://en.wikipedia.org/wiki/Stagflation]. My two Poms were groomed ten to twelve times a year, now they get half of that.

    The Central Bank of Canada, instead of letting private banks create debt-backed money, must do what it was created to: increase the currency supply at the same rate as the population growth, plus one percent. The US has far greater problems created by the Fed Res Bunco, a syndicate of six European Banks and two US banks, which is private control of the nation’s public currency and money system [they are not the same entity]. The USA cannot survive both the Fed Res Bunco and the Obamanation.

    • I had meant to ask you how things were out east
      (or is it down east ?)… I’ve lived in Quebec and Maine.
      My heartfelt sympathies on you reversals…but it sounds like you
      at least got to keep the Poms :). I hope you’ve been able to stash
      some silver Maple leaves…I don’t think we can count on Soc.Sec.
      I’d considered floating out the St.Laurence to where people were
      used to living on nothing and at least could live off the sea….
      but I’m as good a fisherman as I am a gardener,sigh.

  2. Many thanks for yr thoughts, they’re appreciated. Yes, I have a few dozen silver Maple Leafs, enough for the first year of full-blown deflation. Soc Sec is not so badly off as alarmists will have us believe, to get their greedy paws on the last of our savings for Goldman Sachs et al., the creators of the Problem: Ponzi finance and worthless casino derivatives. Google or cluuz ‘Terrell Arnold’ for good info re Soc Sec.

    Keep on gardening: you learn by doing. On yr own in yr backyard using compost you should be able to raise enough to fill yr freezer. Next year fill two freezers. I’m a long-time grower, so I know this works–if we do! And fishing’s always good, even if you only get the exercise of getting out and about!

  3. Dear, dear Eo! Many thanks for once again digging down and revealing the TRUTH concealed by the feral gubbmint’s Daily Lies. As Dr Weaver so succinctly wrote in 1948: “Appearances do not exhaust reality.” You’re one of the best at removing the veils of deceit and duplicity: we are all indebted to you, as it makes our lives easier, knowing the enemy. Thank you again!

  4. Hope and change baby!

    And the SRM keep on spinning…

  5. Thank you Dr. Eowyn for again exposing the statistical lies! Your reasons are spot on, as I am familiar with them, having worked for a state governmental agency that dealt with unemployment benefits and related taxation and rehabilitation issues! They just don’t stop lying, do they!

  6. I HEAR you, GF, and once again, you got it perfectly expressed. I’m sure many of our readers feel the same.

  7. You could look at it another way, okay? How about, Americans work just fine, it’s the Monetary System that doesn’t work. The only way to get We the People back to work, and start a real “human” economic recovery, is to reinstate Glass Steagall and stop the banksters from looting what was left in the monetary system. Since it is almost drained of any liquidity, there’s no way anything could be financed with what’s left, when FDR enacted GS there was still some money left with which to rebuild the US economy, but this time around, so much damage has been done that it would take for Congress to start uttering credit to finance absolutely gigantic industrial, agricultural and scientific projects with life spans of up to two generations time, that would take into account the actual needs of our republic and put it back in a position of World Economic Leader of true creativity and enterprise, to allow people to “breathe” again, and sleep at night. To raise families and provide them with a good home and a decent education and a future to look forward to. There is no reason to capitulate any further to the leadership of President Obama and the Congress with their drive for austerity. Just look at Greece, it isn’t working that great……………..France just dumped Sarkozy because he was all for austerity policies and that has rattled the Germans now, and they might give up on the EU because they are not interested in funding the EU for much longer, because it’s a disaster.
    Glass Steagall established globally, would hand the banksters back their lovely unpayable debts, and let them hold the breath and have some sleepless nights.
    We have work to do, getting the USA back on it’s feet in our first priority, and facing the fact that the Federal reserve is broke, busted and we’re disgusted would be a good step one. How can we give these banks money that we don’t have, and don’t have a chance to make, because no worthwhile projects are on the horizon for us to get to work on? How can you cut back what’s already been razed to the ground. The phoenix has to arise from the ashes…………………… In other words, we can do all things through Christ………………….who is the resurrection…………we can be resurrected IN JESUS’S name!!!!!!!!!!

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