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Delving into the Unemployment Numbers


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So there weren't 163,000 new jobs in July?

The headline number there were, but when you take the household survey into account, which is counted in the actual U-3 and U-6 unemployment numbers, there was a net loss.

To go from 8.2% unemployment to 8.3% unemployment, in the face of 150K people leaving the workforce, more jobs were lost than were created.

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Below is from a NY Times blog written yesterday telling us to beware of today's report.

 

http://economix.blogs.nytimes.com/2012/08/02/beware-the-jobs-report-of-july/

 

"The issue will loom particularly large on Friday, because the report for July is annually adjusted by a larger amount than for any other month save January, when holiday workers lose their jobs."

 

And...

 

"The government has estimated an average change of 149,700 jobs in the last 10 July jobs reports, but it has since revised those estimates by an average of 92,900 jobs per year. In other words, the initial estimate is generally off by about 62 percent."

Edited by PearlHowardman
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Below is from a NY Times blog written yesterday telling us to beware of today's report.

 

http://economix.blogs.nytimes.com/2012/08/02/beware-the-jobs-report-of-july/

 

"The issue will loom particularly large on Friday, because the report for July is annually adjusted by a larger amount than for any other month save January, when holiday workers lose their jobs."

 

And...

 

"The government has estimated an average change of 149,700 jobs in the last 10 July jobs reports, but it has since revised those estimates by an average of 92,900 jobs per year. In other words, the initial estimate is generally off by about 62 percent."

Yes, I read that same article yesterday, it appears that this would be the case, we should be able to get a better idea in the next few months.

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