WASHINGTON - President Obama seized upon last week's improved
jobs report as "more good news" on the economy, though the true
unemployment rate never made the headlines.
Anytime jobs are created it's good news, but a major factor that
produced the drop in the official unemployment rate to 8.3 percent was
in large part a manifestation of the economy's underlying weakness
that the national news media didn't acknowledge or buried in its
stories.
Also left unaddressed was the issue of who should get the credit
for the job increases. It clearly was not Obama whose stimulus plan
failed to make a significant dent in the jobless rate in his first
three years in office. But we'll deal with that in a moment.
First and foremost, the real story of Obama's weak jobs
performance is about what the Bureau of Labor Statistics' unemployment
number leaves out, or at least plays down.
And that's the 2.8 million discouraged American workers who want
employment but can't find it and have given up looking. Under the
BLS's perverse mathematics, these people are "not counted as in the
labor force, even though they wanted and were available for work and
had looked for a job in the prior 12 months," the agency said deep
down in its report.
Thus, the government does not count them as among the unemployed,
even though they are, well, unemployed.
If you add these 2.8 million discouraged workers, who are victims
of Obama's failed economic policies, the real unemployment rate is a
whopping 9.9 percent instead of the 8.3 percent the administration
announced Friday.
Most people do not realize the BLS numbers are the result of a
national household survey, i.e. a poll, though it is not the only
survey. The Gallup Poll regularly surveys Americans across the country
to determine who's working and who isn't, and its numbers put the
unemployment rate at a higher 8.7 percent, and the underemployment
rate -- workers in temp jobs or part-timers -- at 18.7 percent.
This is the bleak, unarguable reality of the Obama economy and it
is one that the Republicans ought to make their number one issue in
this year's elections.
Ten percent unemployment is not something to boast about, yet
there was Obama at a fire station in Arlington, Va. on Friday, saying
"the economy is growing stronger."
The president ought to double check with his people at the
Commerce Department who keep track of economic data. Last year,
Obama's "stronger" economy grew by a meager 1.7 percent, a pathetic
growth rate by any recent standard.