Obama white house jobs reports, Tell the big lie and repeat it, Economic council labor participation rate lie repeated at WhiteHouse.gov, Another Obama diversion, Young Americans and whites not in labor force gain fewest jobs
“For now, the absence of young adults from the housing market continues to put a dent in the homeownership rate, which dropped to 64.8% in the first quarter, compared with 65.2% in the fourth quarter of 2013, according to U.S. Census statistics. The rate was as high as 69.2% in the fourth quarter of 2004. For those younger than 35, the rate has fallen noticeably faster. It slipped to 36.2% in the first quarter, from 36.8% in the fourth. The homeownership rate for this group was as high as 43.6% in the second quarter of 2004.”…Market Watch May 12, 2014
“In today’s labor market, there are nearly 1 million “missing” young workers—potential workers who are neither employed nor actively seeking work (and are thus not counted in the unemployment rate) because job opportunities remain so scarce. If these missing workers were in the labor market looking for work, the unemployment rate of workers under age 25 would be 18.1 percent instead of 14.5 percent.”…Economic Policy Institute May 1, 2014
“If you tell a lie big enough and keep repeating it, people will eventually come to believe it.”…Joseph Goebbels
The Obama Ministry of Truth
Tell the big lie and repeat it.
Obama’s White House Council of Economic Advisers crafts the big lie, that a large portion of the drop in labor force participation is due to the aging of the population.
And WhiteHouse.org, in a report crafted by one of the advisers, Jason Furman, a member of the 2008 Obama campaign team, repeats the big lie.
So why was it necessary to devise the big lie and divert attention away from something?
Here is the rest of the story:
From Citizen News April 7, 2015.
From “The Labor Force Participation Rate since 2007″ July 2014.
“Summary of the Main Results
Since the final quarter of 2007, the labor force participation rate has fallen from 65.9 percent to 62.8 percent in the second quarter of 2014, a decline of 3.1 percentage points. In this report, the Council of Economic Advisers estimates that this 3.1 percentage point decline can be attributed to three main sources:
About half of the decline (1.6 percentage point) is due to the aging of the population. Because older individuals participate in the labor force at lower rates than younger workers, the aging of the population exerts downward pressure on the overall labor force participation rate. While older workers today are participating in the labor force at higher rates than older workers of previous generations, there is still a very large drop-off in participation when workers enter their early 60s.”
“In the last few years the aging of the population has been an increasingly important source of the decline in the participation rate. From the beginning of 2011 to the second quarter of 2014, the participation rate fell by 1.4 percentage points. Around 70 percent of that decline (1.0 percentage point) can be directly attributed to the aging of the population and increased retirements.”
“The Aging of the Workforce The largest single factor in the decline of the participation rate since the end of 2007 is the aging of the workforce—something that was predicted well before the Great Recession. Every year since 2000, the Economic Report of the President has mentioned the post-2008 decline in the labor force participation rate as a factor slowing growth of potential real GDP. In 2004, the first year in which their ten-year forecast included the 2007-2013 period, CBO predicted that participation would fall by 1 percentage point between 2007 and 2013 due to aging. Also, in 2006 researchers from the Federal Reserve predicted, based solely on aging and other trends, that the participation rate would fall to 63.3 percent in 2013—the exact value to which it fell (Aaronson et al. 2006).”
Compare the above to the following.
From Market Watch March 5, 2015.
“Many older workers are holding on to their jobs instead of retiring — and that’s causing a logjam in the labor market.
After reaching a historic peak in 2000, the labor force participation rate — the sum of workers and those who want to work as a proportion of the working-age population — “drifted gradually downward,” says Patrick O’Keefe, director of economic research at CohnReznick, an accounting and advisory firm. The decline accelerated with the 2008 recession and the rate fell to a 36-year low of 62.8% at the end of 2013 and, he says, “has hovered around that level since.” The rate was at 62.9% in January 2015.
There’s been a sharp decline in labor force participation among younger workers (aged 16 to 24) and prime-age working adults (aged 25 to 54), according to the most recent Bureau of Labor Statistics figures, while older workers have been holding on to their jobs. “Coincidentally, a larger share of baby boomers, an exceptionally large cohort, continues to participate at historically high levels,” O’Keefe says. “Fewer Americans have or are seeking jobs and that has long-term implications for the U.S. economy and economic policy.”
In the fourth quarter, the labor force participation rate of younger workers was just 55.5% after holding steady at about 66% from 1998 to 2000, and participation by the prime earning group (ages 25 to 54) was unchanged at 80.8% after peaking at 84.4% in early 2000. However, participation among those approaching retirement had slipped only slightly from the mid-2010 post-war record rate of 65.3% to 64.3% in the most recent quarter and was 18.6% for those 65-plus, just shy of a two-year high of 19%.
Americans have either decided to remain in the workforce at a time when they might have otherwise retired due to finances or because they like working, “and that has meant greater competition for jobs,” says Mark Hamrick, Washington bureau chief at personal finance site Bankrate.com. Only 26% of Americans have a traditional notion of retirement in which they plan to stop working altogether, according to a new survey of 7,000 households released last week by The Pew Charitable Trusts.”
Notice the reliance on predictions as did Goldman Sachs Chief Economist Jan Hatzius.
Big lie repeated.
From Citizen News April 8, 2015.
From WhiteHouse.gov February 6, 2015.
“The Employment Situation in January”
“Posted by Jason Furman”
“2. The labor force participation rate rose to 62.9 percent in January, and has been relatively stable, on balance, since October 2013—during which time the unemployment rate has fallen by 1.5 percentage point.The recent stabilization in the participation rate suggests that all of the decline in the unemployment rate over the past fifteen months has been due to employment gains. Over the recovery as a whole, the participation rate has fallen, in large part because of two simultaneous events that hit in 2008: the worst economic crisis since the Great Depression, and the beginning of a retirement boom as the first Baby Boomers became eligible for Social Security. Last summer, the Council of Economic Advisers released a report elaborating on these and other factors driving the decline in the participation rate. Updating the analysis to account for today’s data, CEA estimates that of the 3.0 percentage-point decline in the participation rate from 2007:Q4 to January 2015, 1.8 percentage point is due to the natural aging of the population and 0.5 percentage point is due to standard business-cycle effects. The remaining 0.8 percentage point is a “residual” that could reflect either less-well-understood pre-existing trends or lingering after-effects from the unusual severity of the Great Recession. (Components do not sum to total due to rounding.) Although the effect of an aging population is likely to exert downward pressure on the participation rate for years to come, the President has proposed a number of policy steps that can help support labor force participation and the economy’s long-run potential output. An updated discussion of the labor force participation rate and policy implications will appear in the forthcoming Economic Report of the President.”
More Obama White House lies for the March 2015 jobs report.
From Citizen News April 8, 2015.
“From the Obama Ministry of Truth at WhiteHouse.gov, April 3, 2015.
“The Employment Situation in March”
“The March employment report reflects a pace of monthly job growth below the recent trend, coming on the heels of February’s strong report. The unemployment rate was stable, broader measures of unemployment fell, and hourly earnings continued their rise. A range of factors including the weather and the global economic slowdown have affected economic data for the first quarter. The President has been clear that he will continue to push for policies including investments in infrastructure and relief from the sequester that would help ensure the strong underlying longer-term trends persist.
FIVE KEY POINTS IN TODAY’S REPORT FROM THE BUREAU OF LABOR STATISTICS
1. The private sector has added 12.1 million jobs over 61 straight months of job growth, extending the longest streak on record. Today we learned that total nonfarm payroll employment rose by 126,000 in March, driven by a 129,000 increase in private-sector employment. This particular month’s job gains were below the recent trend, as job growth in a number of industries slowed somewhat (see point 5). Over the past twelve months, the private sector has added 3.1 million jobs, nearly the highest year-over-year growth in the recovery so far.”
First let’s address the “February’s strong report “.
From Citizen Wells March 7, 2015.
“Nonfarm payrolls increased 295,000 last month”
“Yet, if you simply look at the data from the US Labor Department you find:
43,000 fewer Whites employed in Feb!!!
There were 354,000 more people not in the labor force!
There were 180,000 more people not in the labor force who want a job now!
There were 250,000 more Hispanic/Latino workers employed since December 2014.
It is worse than that.”
Data from the US Labor Dept. for March 2015.
From Citizen News April 3, 2015.
“Total nonfarm payroll employment increased by 126,000 in March, and the unemployment rate was unchanged at 5.5 percent, the U.S. Bureau of Labor Statistics reported today.
Employment continued to trend up in professional and business services, health care, and retail trade, while mining lost jobs.”
“Now for the rest of the story, the truth.
Also from the same website, historical tables.
There were 106,000 fewer whites employed in March.
There were 226,000 more whites not in the labor force.
There were 81,000 more Hispanic employments.
Don’t take my word for it.
Look it up!”
You already know by now that one of the reasons for the drop in the labor force participation rate is the drop in employment of younger Americans.
The other big reason, that is not being reported (except here):
From Citizen News April 8, 2015.
“Why is the Obama White House erroneously blaming older workers for the drop in the labor force participation rate?
The answer is simple.
Why is this diversion necessary.
To hide the fact that younger and white American workers are being decimated by the Obama policies which include allowing so many illegals to stay in this country and work.
This is important.
The drop in labor force participation is significant despite the attempts by Obama et al to obfuscate the reasons.
However, perhaps even more significant is the number that are not in the labor force and therefore prevent the participation rate and unemployment rate from being worse.
Let’s focus on white Americans, since at the time the youngest members of the workforce were born, approx. 70 percent of the US population was white.
When Obama and the media lie about the job situation the implication is that all the so called jobs being created are dispersed proportionately.
That is not so.”
The Obama camp.
Masters of diversions.