The U.S. economy shed jobs in July, yet the unemployment rate improved — an unusual pairing that points to a worrying story unfolding behind the numbers for some economists.
That’s because even as the U.S. economy lost jobs, American workers left the labor market faster.
Mom’s basement might be the answer.
The same thing that always happens –
Many workers are underemployed in roles that don’t have them working enough hours, don’t pay enough, or aren’t in their chosen field. They may still be seeking employment, but are not counted because they are employed in some fashion.
Many people have simply given up and have not looked for a job in the last two weeks because it’s impossible to penetrate the market, so they aren’t considered unemployed.
There are many other reasons, but essentially, the counting method and methodology are skewed to create the impression of a better economy than the one that actually exists for economic, political, social, and geopolitical purposes.
They do the same for inflation, too - looking at subsets of goods and periodically revising how CPI is calculated. It’s a lie.
So, the only way an unemployed person counts as unemployed is while he’s submitting applications?
Ope. It’s more generous at 4 weeks, not 2 and doing anything to find work, not just submitting applications.
But - yeah.