8.3% Unemployment Lie


Greg Hunter
USAWatchdog.com
Monday, February 6, 2012
The most recent unemployment number is a total lie, and that lie was repeated all over the mainstream media (MSM).  Two sins were committed here, and I don’t know which one is worse.  The report was a sham, and the MSM reported that information without a single question about its accuracy.

In a story carried across the MSM spectrum, the Associated Press said, “In a long-awaited surge of hiring, companies added 243,000 jobs in January – across the economy, up and down the pay scale and far more than just about anyone expected. Unemployment fell to 8.3 percent, the lowest in three years.”  The report went on to say, “At the same time, the proportion of the population working or looking for work is its lowest in almost three decades. The length and depth of the recession have discouraged millions of people from looking for jobs. The better news of the past couple months has not yet encouraged most of them to start searching again.”  (Click here for the complete AP story.)

Here’s a headline for you.  If it were not for accounting gimmicks and what the government calls “seasonal-adjustments,” the unemployment rate would have gone up, not down!  In his latest report, economist John Williams from Shadowstats.com said, “January’s unadjusted unemployment rate rose to 8.8% . . . The only difference between those numbers and the headline 243,000 January jobs gain and 8.3% unemployment rate, is how the seasonal adjustments were applied.  There are serious issues with the current quality of those adjustments, and extremely small distortions in those seasonals can make big differences in the resulting headline data.”      

As far as “discouraged” workers who are not looking for a job, that is total rubbish put out by the government.  The real story is the Bureau of Labor Statistics (BLS) simply has stopped counting more than 1.2 million of the unemployed in its report Friday.   Williams goes on to say, “The issues here suggest that the headline 8.3% unemployment for January has moved well outside the realm of common experience and credibility, into the arena of election-year political shenanigans.”   Williams is such a gentleman.   Please take into consideration the government’s “official” or “headline” number is only based on people being out of work for 6 months or less.  If the unemployment rate was calculated the way BLS did it in 1994 and earlier, the unemployment and underemployment would be 22.5% (according to Shadowstats.com.)

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