Everyone can understand a line going straight down.
Corpses don’t “grow.”
The companion article, Old Lie Returns In New U.S. Jobs Report , provides a good explanation of the double speak.
Without having read the entire companion article, I don’t know if he discusses Hedonic Adjustments. I first heard of Hedonic Adjustments in 2004, I think it was.
The Hedonic Adjustment is like the math class where you pick a number out of thin air, to achieve the result that you desire. The Hedonic Adjustment is a variable that is selected based on the level of deceit that the government wishes to propagate, for any given report.
Jeff mentions the zero interest rate policy. It is known as ZIRP. If you were told 5 or 10 years ago, that low interest rates would not revive the housing in a bad market, would you have believed them? Hardly. But, that is what we have. Low interest rates, like we have, works to destroy capital and the economy. It is happening in real time…
The Labor Participation chart can be found on the Charts page, along with a number of other charts. They will give you a better picture of reality, than any government or media report.
by Jeff Nielson
Wednesday, 06 March 2013
Ignore the fantasy-numbers. Ignore the inane hype which accompanies them. There is only one Truth with respect to the U.S. labour market and employment. It is contained in the chart below, produced by the Federal Reserve itself.