Free Markets, Free People

Sure is quiet out there

I’m sure you’ve noticed the pattern – when unemployment figures show an increase in jobs, even a tiny one, administration figures can’t wait to find a microphone to announce that things are finally turning around.  When “unexpectedly” bad numbers show up, they want to talk about other things.  This happens to be one of those weeks:

In the week ending April 10, the advance figure for seasonally adjusted initial claims was 484,000, an increase of 24,000 from the previous week’s unrevised figure of 460,000. The 4-week moving average was 457,750, an increase of 7,500 from the previous week’s unrevised average of 450,250.

Now I’m not saying that’s abnormal or something only this administration does, but given the extent and duration of the unemployment situation, increases in the number of unemployed should be unexpected.  And while any increase in jobs is to be seen as a positive sign, until there are multiple months above the + 140,000 level, we aren’t adding any jobs.  That number is seen as what is necessary to maintain an employment rate percentage. So even to maintain a 9.7% unemployment percentage we need that monthly positive number to do so.  The point being, reports like the one above indicate we may see that 9.7% rate nudge upward soon.

Lastly, one of the reasons many experts expect this to be a jobless recovery is because of its length.  Companies who shed jobs over a year ago and have survived and may even be starting to thrive a bit are going to think very hard before they put more labor on.  If they’ve been able to function efficiently – i.e. if their productivity has increased (and thereby their profit) with a reduced staff, they’re very likely to maintain their staffing at present levels.  If they hire it won’t be until they absolutely have too (driven by a significant increase in business) but that could be months if not years away.

Certainly not a rosy picture.

~McQ

[ad] Empty ad slot (#1)!

Tweet about this on TwitterShare on FacebookShare on Google+Share on TumblrShare on StumbleUponShare on RedditPin on PinterestEmail this to someone

9 Responses to Sure is quiet out there

  • Credit goes to Rep. Paul Ryan who I heard sum up the fiscal situation, which is affecting all of our lives and the economy, by saying that Obama had indeed inherited a bad situation and then proceeded to make it much much worse.

    The economy is recovering. Obama throws one monkey wrench after another into its gear box.

    I will restate my belief that it is intentional, and not just stupidity.

  • Keep in mind how much of the economy is driven by small businesses, and even those starting to grow again are wary of hiring until they fully understand what the government is going to do to them next.
    Also, any company nearing the 50 employee mark will certainly stay under it due to the health care bill just passed.  I consult with several such a companies; they have 40-49 employees, and will not hire any more or aggressively grow the business right now due to the uncertainty.
     
     

    • I’m often amused by the media exploding their bowels at the slightest indication that tax protests and freedom rallies could encourage violence, when what the Left, fully in control of the government now, is doing with the full power and force of government is gaspingly violent. It’s threats are endless, not just in the policy arena, but in its disgraceful slanders against Americans that are coming straight from the White House.

      That disgusting pimp Robert Gibbs has the demeanor of a cattle rancher with an electric prod when he talks, from a White House podium, about Obama’s opponents.

  • In the week ending April 10, the advance figure for seasonally adjusted initial claims was 484,000, an increase of 24,000 from the previous week’s unrevised figure of 460,000. The 4-week moving average was 457,750, an increase of 7,500 from the previous week’s unrevised average of 450,250.

    Yes, but was this news “unexpected”?

    / sarc

  • Let’s see: 484,000 new jobless claims? So for the economy to hold at 9.7% jobless, that means that there must have been 484,000 NEW HIRES, right?
    Anyone got a clue where all those new hires are working now? Certainly not around here (Phoenix metro)! I’m stumped!

  • Icelandic Volcano effect…come one people, there is always an excuse for poor numbers when Obama is in office…