Friday, December 4, 2009
The Other Surge
While everyone seemed to be cheering that the last number reflecting unemployment claims in November dropped by 5,000 from 462,000 to 457,000, it seems that a statistic that everyone seems to have completely overlooked then was the huge uptick of Emergency Unemployment Compensation. EUC is the program which was extended and allows unemployment insurance benefits to go far past their ordinary expiration date. EUC went up 265,300 in one week to an all time record of 3,859,553 for the week ending November 14 (up from 3,594,253 in the prior week).
The official jobless rate was 10.2 percent in October, up from 9.8 percent in September. Many economists see that number as being much higher, and probably more like one out of every six workers — or 17.5 percent that were unemployed or underemployed in October. The 10.2 percent number excludes certain categories of people - like recent college grads who can't find work, or those who have given up looking for work, or those who are underemployed as well as discouraged workers who have looked in the past year, and millions of part-time workers who want to be working full time. The previous recorded high for unemployment was 17.1 percent, in December 1982.
The November numbers were sobering.
New numbers are supposed to be out today.
It'll be interesting to see what positive spin will be put on them.
Meanwhile, nearly 4 million people are collecting unemployment insurance.
Now that's a real surge, but at least 30,000 people will be put to work in Afghanistan.
Heaven knows there is no work for them here stateside.
Question is, how many more people will be paid by government, given government jobs, or put on the government dole? And what happens when government has an empty treasury? (Oh right.. they'll just print more money)
Here's the Department of Labor's Data