A Note About Unemployment Statistics

From time to time, I will write posts that contain the Unemployment Rate or various other job loss measures.  I show these statistics as they are widely used and quoted by others. 

From my perspective, however, the methodology used to measure the various job loss and unemployment statistics does not provide an accurate depiction.  There are a variety of reasons for this that become evident if one carefully analyzes the unemployment calculations.

I feel that if one were to accurately gauge the Unemployment Rate, the rate would be at least 20%, which is roughly double the official Unemployment Rate of 9.8%.  This 20% figure is above the U6 measure of 17% that many have adopted as an accurate benchmark. 

What is bothersome is that even the official unemployment statistics that I show in the blog posts display a very worrisome situation.


SPX at 1054.65 as this post is written