muses of the moment

February 4, 2012

Real Unemployment rate

Filed under: Odds 'n ends, Unemployment — totallygroovygirlfriday @ 7:31 am

Click here for a post from zero hedge that explains how the unemployment formula (that has been “modified” several times in the last 30 years) will eventually get the US to a negative employment rate!

Mathematics is a wonderful invention.

I am sure John Williams with shadowstats.com who calculates the unemployment rate without the changes will come out with  the real number several points above the official unemployment rate.

John Williams on the real unemployment rate

Filed under: John Williams shadowstats, Unemployment — Tags: — totallygroovygirlfriday @ 5:28 am

Update 2-6-12: John Williams released more unemployment rate details on KWNblog. Click here.

Accordingly, for purposes of Great Depression comparison, I would look at the estimated peak nonfarm unemployment rate in 1933 of 34% to 35%.

So, at 22.5% real unemployment, we are closer to historical Depression numbers than the government would have you believe. Do not be hood-winked by propaganda, know the real stats!

John Williams from shadowstats.com has come out with updated unemployment numbers. You pay for the detail, well worth it, but here is the summary:

– Basic Economic Outlook Unaltered by Stronger Labor Data
– January Jobs Reading Still at Levels of 11 Years Ago
– January Unemployment: 8.3% (U.3), 15.1% (U.6), 22.5% (SGS)
– Money Supply M3 Growth Is Picking Up

Corruption with a capital “C”

Click here for another excellent article from Jim Wilie via financialsense.com.  He talks about all the areas that investors should be cautious in moving forward. Do your due diligence.

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