I just don't understand how people can claim that the economy is doing better. They claim the unemployment rate is down but is it really? With people leaving the labor force because there isn't work for them it hurts our economy. Check out my sources here: http://factmemo.com/factmemo.php?topic=economy&factmemo=1094 I just want our economy back on track.
Wow. Didn't realize the actual numbers were that bad. No wonder this administration has been fudging the real stats.
It has nothing to do with the facts, some people will claim whatever they have to in order to make their political dogma look good. Why would anyone except the most partisan believe the govt numbers are objective? The "progressives" don't shirk from using the IRS to blatantly attack its political opponents, openly funneling "stimulus" money to its cronies, illegally selling guns to drug cartels in hopes of manufacturing evidence to support stricter gun controls, lies and cheats at every opportunity, and steals elections. Why would anyone be surprised that they fudge the unemployment & CPI numbers?
To be fair, the labor force participation rate has been on the decline since just before 2000. While a portion of this decline is surely from discouraged workers, the primary drivers appear to be an increase in the number of people who are either retired, disabled/ill, or in school. Keep in mind one is considered to be of labor force age when 16. The data supports this. The very dark green at the very top represents people who are not in the labor force but want a job. It is a mere fraction of the other reasons. Overall, only about 1.4 million are out of the labor force but want a job. http://macroblog.typepad.com/macrob...se-in-the-labor-force-participation-rate.html
My question how many just moved to the Underground Economy I noticed an increase of such work from selling untaxed cigarettes and bottled water by the local bus stop, some more handyman workers and the like often undercutting above board competition with lower prices.
Nice post. I've been wondering how the various factors contribute to the decline. What is missing from this (and I don't have any estimates) is how many of those who have retired did so because they could not find a job although they may have wanted to. The number of persons who retired is the largest contributor to the total but the increase is the lowest percentage. Certainly some of the decline in job force participation rate is the result of a greater number of people retiring (some retiring early) but the trend cannot be completely explained by the baby boomer retirements. Also the increasing trend in the number of those being granted permanent disabilty as the degree of manual labor decreases IMO shows people gaming the system. For everyone on permanent disabilty there are now 16 workers supporting them via taxes. Also there was an increase in the labor force participation rate in the recovery from the 2001 internet bubble/9-11-01 recession starting ~ 2005 but then the rate dropped again continuously during the housing bubble/financial crisis recession and recovery. From your link: Projections on the labor force participation rate vary but since the data above the decline has continued downward to a current low of 62.8% in Oct of this year. http://www.businessinsider.com/labor-force-participation-rate-september-2014-2014-10
