Another month another miss for the key unemployment report out of the BLS. Non Farm Payrolls were an anemic 84K vs a consensus that hovered just over 100k. Obama can blame the weather or the lack of a Triple Crown contender or any thing he wants, it won’t matter. The three month average for this quarter just ended is 75k new jobs per month – a joke in the context of a 155 million person labor force.
Of note is the fact that the unemployment rate for college educated Americans is now 4.1% vs the total average of 8.2%. if that isn’t testimony to the fact that this is a structural and not just a cyclical problem, I don’t know what is. We have vast amounts of people who simply lack a skill set that renders them necessary for the technologically savvy, services-oriented economy we’re morphing into. This is a fact, not an opinion. The only question we can debate is whether or not this will cycle back around and we’ll see a new manufacturing renaissance.
I have no idea.
That’s it for me, some links below:
US Economy Adds Just 80,000 Jobs in June (TIME)
Twitter reactions to the jobs report from econ people (Economix)