8/2/2019 Unemployment Good News?

1/2

Date: January 6, 2012

Unemployment Good News?

But the time you read this, some anti-Administration spin-doctor will have concluded that the

improving US unemployment rate of 8.5% is all smoke and mirrors. They will claim that there are people

who dropped out of the job market for reasons that range from re-education (true), to retirement

(true), to sheer boredom at not finding a job after a year or more (true). However, those people

dropping in and out of the job market happen all the time, and three independent research firms (two of

them hardly pro-this Administration) estimate that the in and out are about the normal, that is to say,

they balance each other out. So, at 8.5% America seems to be getting back to work.

Where are those new jobs? Worryingly, a lot of them are in retail over Christmas and you know

what that means, many of those jobs will evaporate this month. Not so, say Walmart and Target who

claim those employees (at low wages to be sure) are there to stay. The rest of the jobs are in the

manufacturing industry (mainly US made cars and auto parts) hooray! And the warehouse industry

and transportation saw an uptick as well. The medical sector saw another year-on-year increase in

employment which is both good news and bad as insurance rates are sure to continue their upwards

trend.

Look, in 2011 our economy found jobs for 1.9 million Americans. That is good news by any measure.

Measured against what? you may ask. Lets take a look at Europe... instead of our 8.5% unemployed,

Europes Euro currency zone as whole has unemployment running at 10.3%. Thats 16.3 million people

out of work. And if that figure is not worrying enough, lets break it down a bit. Austria is doing really

well at 4%, thats twice better than America. But Spain is really in trouble at 22% unemployed, thats

approaching the Great Depression rates. If you throw in all the EU countries, including Sweden and the

UK (where they do not use the Euro) the unemployment rate is hovering around 9.9% - a level that

people said could cause America to throw out the President.

And what about poor Japan with such a terrible year? They have gotten back to work in a hurry with

only 4.5% unemployed. After the tsunami and earthquakes, they were momentarily at 8% unemployed,

but that quickly changed with a find-a-way-back-to-work ethic. India, on the other hand, is in lock-step

with Europe at 10.8% unemployed, although reporting agencies are quick to point out that those figures

may be off by as much as 15% (meaning unemployment is anywhere from 9.2% to 12.4%).

8/2/2019 Unemployment Good News?

2/2

China, that bastion of work ethic (which people say is beginning to erode in a new consumer driven

society) reports only 4.3% unemployment. Of course, that only accounts for people actually registering

for work in the public sector and factories, it does not include agricultural seasonal employment, so

the actual number may be higher.

Where does that leave us? Clearly were not at the top of the least unemployed list. Switzerland

leads that with zero unemployment. Yes, zero. But were doing better, working better. As winter

changes to spring the agricultural industry will hire on loads of people hopefully Americans which

should alleviate the bounce from those getting laid off as Christmas retail stores cut back. And the Buy

American campaign seems to be making some headway here too. Overall, the news is looking brighter,

particularly if those driving the election machines could, for the sake of America, try and be realistic

instead of spinning America back into a recession just to get elected. If those against this Administration

manage to frighten the electorate into believing America is actually worse off than it is, they may create

the very condition they won want to inherit. The world economy is still on a knifes edge and now is not

the time to play political mumbley peg with the future of all Americans.