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lquadland10 (< 20)

Read the Fine print in The Labor report. They were not counted as unemployed



July 07, 2008 – Comments (4) | RELATED TICKERS: GLD , AUY , UUP

Among the unemployed, the number of persons who had lost their last job was
essentially unchanged at 4.4 million in June,
but has risen by 952,000 over the
past 12 months.
The numbers of unemployed reentrants and new entrants to the
labor force were little changed in June; both groups had increased sharply in
May. (See table A-8.) In June, about 1.6 million persons (not seasonally adjusted) were marginally
attached to the labor force, little different from a year earlier. These indi-
viduals wanted and were available for work and had looked for a job sometime in
the prior 12 months. They were not counted as unemployed because they had not
searched for work in the 4 weeks preceding the survey. Among the marginally at-
tached, there were 420,000 discouraged workers in June, little changed from a year
earlier. Discouraged workers were not currently looking for work specifically be-
cause they believed no jobs were available for them. The other 1.1 million per-
marginally attached to the labor force in June had not searched for work in
the 4 weeks preceding the survey for reasons such as school attendance or family
responsibilities. (See table A-13.) Real Earnings Internet Address: Technical information: (202) 691-6555 USDL 08-0791 Media contact: 691-5902 TRANSMISSION OF MATERIAL IN THIS RELEASE IS EMBARGOED UNTIL 8:30 AM EDT, FRIDAY, JUNE 13, 2008 REAL EARNINGS IN MAY 2008 Real average weekly earnings fell by 0.4 percent from April to May after seasonal adjustment, according to preliminary data released today by the Bureau of Labor Statistics of the U.S. Department of Labor. A 0.3 percent increase in average hourly earnings partially offset a 0.7 percent increase in the Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI-W). Average weekly hours were unchanged. Data on average weekly earnings are collected from the payroll reports of private nonfarm establishments. Earnings of both full-time and part-time workers holding production or nonsupervisory jobs are included. Real average weekly earnings are calculated by adjusting earnings in current dollars for changes in the CPI-W. Average weekly earnings rose by 3.2 percent, seasonally adjusted, from May 2007 to May 2008. After deflation by the CPI-W, average weekly earnings decreased by 1.2 percent. Before adjustment for seasonal change and inflation, average weekly earnings were $601.10 in May 2008, compared with $583.01 a year earlier.  
Import Goods

May import prices rose 2.3 percent and were up 7.9 percent between February and May, the
largest three-month jump for the index since October 1990. Import prices advanced 17.8 percent over
the past year,
which was the largest year-over-year rise since the index was first published in September
1982. Higher petroleum prices continued to be a major contributor to the advance in overall import
prices, increasing 7.8 percent in May after rising 5.9 percent and 9.8 percent, respectively, in the prior
two months. Petroleum prices rose 68.8 percent for the year ended in May, the largest 12-month
advance since the index was up 82.5 percent between February 2002 and February 2003. Nonpetroleum
prices also increased in May, although the 0.5 percent advance was modest compared to the 1.3 percent
increase in April and the 1.2 percent rise in March. The index was up 6.6 percent over the past year. Rising petroleum prices in May led to higher prices for imports from Canada, the European
Union, and Mexico.

Unemployment Level:
  7,078,000 for 2007 ( And so more coming.) If you go to the labor department web sight and go to their inflation caculator you will see that in 1970 your 100.00 dollars would now be 558.33 now. Has your pay from 1970 gone up that much yet?Dwot has written a very good blog about how wages havent gone up and immagration. Welcome to GLOBALAZATION. Got to love it. My crystal ball says more pain to come.

4 Comments – Post Your Own

#1) On July 07, 2008 at 7:57 PM, XMFSinchiruna (26.58) wrote:

Looks like labor figures are about as forhright as CPI.  Ugh!

Thanks for the post!

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#2) On July 07, 2008 at 9:17 PM, russiangambit (28.89) wrote:

I heard the same on Bloomberg regarding unemployment numbers. The US formula is very different fro the European one, for example, because it doesn't count discouraged workers, i,.e. people stopped looking for ajob because they couldn't find any. If US used the same formula as Europeans, our unemployement would've been in the same 10% range as in Europe. I think, one pof the reasons, US pays unemployment for much shorter time than in Europe, and so in the US those people disappear from the radar while in Europe they still get benefits.

So, next time you hear politicians talking about our extremly low unemployment , take it with a grain of salt.

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#3) On July 07, 2008 at 9:24 PM, lquadland10 (< 20) wrote:

If you go to the labor department web sight and go to their inflation caculator you will see that in 1970 your 100.00 dollars would now need to be 558.33 now. Has your pay from 1970 gone up that much yet?

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#4) On July 08, 2008 at 11:08 AM, dwot (29.24) wrote:

Lquadland, you get double posts from refreshing you screen after doing a post.  If your browser has tabs reopen in a new tab and close the one you had open.

I was about 8 or 9 in 1970 and I was already proving myself to have a sense for numbers.  I remember looking at the concept of compound interest on my own.  My mom had some money in savings and said she got a certain amount in interest.  When she told me the principal I was out by a factor of 10, she said she had "2" and I guess I thought $200, but it was $2000.  I did all these compound interest calculations and figured we'd be rich in no time if we just put money in savings.  Of course that fell apart when I realised I was doing my calculation at 70-80% return.  But, I was only about nine when I did that.  I teach compound interest to teens and lots don't do very well on tests.

In 1977 I was making $6/hour with tips.  I guess my last hourly rate in 1979 was $3.92/hour.  Today kids get $6/hour for the first 500 hours of work before getting minimum wage of $8/hour.

What is interesting about the food service industry is when I worked in it tips made up about half your wage.  Today restaurant workers probably make double in tips compared to their wage. Food service workers is one area where income has kept up much better than other workers because of tips.  As restaurant bills have got up with the cost of living and ahead of the CPI, so have tips.  In 79 you could buy a hamburger platter for $2.15.  Today that same platter probably run somewhere between $8-10.  Minimum wage was $3 and now it is $8.  Minimum wage actually did big jumps over the next few years as it was $5 within 2 years, and it wasn't long after that before it was $7.  I think it has been at $8 in the range of 10+ years now.

And, you could actually live on minimum wage as a single person when I was young.  You can't now.

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