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Everything You Need to Know About December Labor Stats

David1763 Wrote: Jan 05, 2013 12:54 PM
The discouraged workforce are those that no longer find it worth their time to actively look for jobs. That means, once jobs open up again, they might be willing to once again apply for work. That would cause "sticky" unemployment levels where employment is rising, but, due to people rejoining the workforce, unemployment does not go down as fast as could be expected. We really don't know how much of the discouraged workers will choose to return to the workforce once demand for labor returns. Of course it is possible that we will never go back to the good old days due to sociological changes Obama is succeeding in making.

Initial Reaction

The establishment survey report of +155,000 jobs was about what most expected.

However, beneath the surface, this report looks weak.

The household survey shows a gain of a mere 28,000 jobs. The unemployment rate stayed the same although the number of people unemployed rose by 164,000.

December BLS Jobs Report at a Glance

  • Payrolls +155,000 - Establishment Survey
  • US Employment +28,000 - Household Survey
  • Involuntary Part-Time Work -220,000 - Household Survey
  • Baseline Unemployment Rate +.00 at 7.8%...