Public Square

The Falling Unemployment Rate Is Not Good News…

Email Print

The US economy added 74,000 jobs in December and the unemployment rate fell from 7% to 6.7%.

When I first saw the headline, I was pretty excited. But then I kept reading.

That’s because the number of jobs added last month was the lowest in three years. And according to Wall Street blogger Phil Izzo, the unemployment rate went down not because more people got jobs but because so many people simply gave up and stopped looking for work.

Izzo says,

The number of people employed jumped by a huge 143,000, meaning that more people got jobs last month. The problem is that the number is dwarfed by the 347,000 who dropped out of the labor force.

But before we get too depressed, is there a better way? Hit the “Learn More” tab to find out about how to effect meaningful, sustainable job creation.

Learn More Share on Facebook Tweet

Leave your comments here.

Photo courtesy of Lafayette College and chart courtesy of Quartz.

Have our latest content delivered right to your inbox!

Further readings on Public Square

  • Public Square
  • Theology 101

Mark Zuckerberg wants to give you money, but it’s not his money! In a recent Harvard commencement address, Facebook CEO…

  • Public Square

It used to be that a stable job with a large employer was part of the “American Dream.” Such is…

Have our latest content delivered right to your inbox!