422,000 people supposedly left the labor force, so these losses weren't counted in the national unemployment rate which only moved up to 6.7%. The last two months had 199,000 more job losses. So according to the government records, 722,000 jobs were lost.
However, if you look at the U-6 Unemployment rate, which last month was up to 11.8%, you can find how job losses are actually felt by the worker.
If you think that construction is in a depression, and everyone can agree with that, then let's look at that unemployment rate according to our Government. That rate is 12.7%.
This month, the U-6 unemployment rate, which includes those workers the BLS doesn't want to count, jumped to 12.5%!
A year ago, when we first started entered this recession, the unemployment rate was 4.5%, and the U-6 rate was 8.1%. Now those rates are 6.7% and 12.5%!
If construction, at 12.7% unemployment is in a depression, how is it that our economy, with a 12.5% U-6 rate hasn't entered one also?
And how is it, that half of the job losses, are jobs that nobody cares about? Maybe the BLS would count them, if Government workers actually lost theirs!
We started this recession last December. Forecasters now belatedly recognized it last week. How about this forecast. Now we have started the depression, and forecasters will belatedly recognize the start of it another year.
That's what will happen, if we don't have massive government stimulus, and a massive cramdown of rates across the globe.
The cuts so far, are just a deposit on what needs to be done.
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