Common Unemployment Myths That Will Shock You

Trying to determine the actual current unemployment in the USA is a perplexing set of rules that the government uses, and not all economists agree that the method accurately reflects the true reality.

The myths are:

The official unemployment rate is based on a SURVEY comprising of 60,000 homes. It is NOT based on unemployment benefits a state doles out. I was stunned at this. A mere 60,000 homes, why???? It includes people who quit their jobs voluntarily (making them ineligible), those who are re-entering the work force and those whose benefits have expired. Any sort of work done in a given week is considered employment. The monthly employment surveys that provides data for unemployment reports also is part of a monthly survey of 160,000 businesses and government agencies. This survey is separate from the household survey. The survey asked the employer how many have they lost. If the report indicates that 100,000 jobs were added, it means that 100,000 were hired more than were laid off. Someone who was laid off and goes to school is considered employed because they are not looking for work. This is a stupid formula, most students do work PT. For the millions that have given up looking for work, the same idiocy rule applies because they are not looking, yet, they are not working.

Crazy! Thus, the figures you hear are much worse as many economists state. There are about 13 million unemployed and 6 million not counted in the labor force, but want a job. There 5 million under age 35 not working and another 6 million between age 36-64. Whites have 9.3 million unemployed, blacks 2.5. Almost 8 million have not worked for more than 16 weeks. Among the college educated, 2.8 are unemployed and 3.2 high School grads.

All very sobering numbers.

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Comments 11 comments

bankscottage profile image

bankscottage 4 years ago from Pennsylvania

Nice Hub. I don't think many people really realize how the numbers are calculated and who is missed.

There is another group that I am not sure how they are counted. Those are the people laid off for a period, but who know full well that they will be going back to work in a relatively short period of time. As an example, there is a market in my home town that closes for a week every 4 or 5 weeks. The employees are all laid off for one week, but know the store will be opening back up in a week. For that week they collect unemployment. Besides not knowing how these people would count in your figures, it seems to be an abuse of the unemployment compensation system.


Wearmanyhats 4 years ago

Wow! Good for you for posting this!


teaches12345 profile image

teaches12345 4 years ago

Interesting how they are able to broadcast this false message on TV. It is so misleading. There are so many people we know that are still unemployed, and there are very little job opportunities open in our area. I can't imagine what the real picture looks like. Voted up.


Jayfort 4 years ago

And how are those who have given up looking for work making money? From unemployment benefits that keep getting extended. If they keep getting extended, what's the motivation to find a job?

Oh, and it means more people dependent on the government and those in the government who want people indebted to them for those benefits.

Oy vey!


perrya profile image

perrya 4 years ago Author

well, depending on their situation most professionals will use their savings after the unemployment runs out (there are 4 extensions enabling to collect for over a year), the last resort is their retirement. As for others, don't know. But just because one gets unemployment does mean they are slackers.


Jayfort 4 years ago

Professionals, yes. Blue collar, perhaps less so.

But growing a large dependent class in this country is part and parcel of those politicians on the far left.


perrya profile image

perrya 4 years ago Author

I know a few professionals that are now tapping retirement funds. Sad.


FGual profile image

FGual 4 years ago from USA

Of course the unemployment picture is getting better, the election campaign launch requires it. Count on them spitting better numbers as the year progresses, like waving their magic wand and making unemployment shrink. The blame game will become unbearable, as in: Don't look at me man, it's THEIR fault.


Bianu profile image

Bianu 4 years ago from Africa

This is sobering indeed. Anyway you look at it the figures are bad.


jpcmc profile image

jpcmc 4 years ago from Quezon CIty, Phlippines

It's easy to be mezmarized by statistics. But many will not ask how the study was conducted. This can skew anyone's perspective because of inaccurate information.


lone77star profile image

lone77star 4 years ago from Cebu, Philippines

/// STATISTICS: ////

Depending on the way statistics are gathered, they can be spun to elicit any kind of reaction the government wants.

If they want a particular candidate re-elected for president, then spin-spin... "our fearless leader has given us a million more jobs!"

The mainstream news media doesn't help, either. They're quite happy that Obama signed away more of our liberties with the NDAA -- giving the army rights to detain American citizens indefinitely and without warrant and without access to a lawyer, a trial, or even to know the reason for their detainment.

/// Welcome to gulag America: ////

http://ronpaulposts.com/2012/03/ndaa-obama-defende...

Vote for Ron Paul - 2012 - the only candidate with the balls to stand up to the machine.

/// OPPORTUNITY: ////

By getting rid of the Fed, IRS, income tax, all foreign wars and military bases, and several expensive government bureaucracies, we could save a trillion dollars the first year. Sure that would put even more people out of work (government workers), but all of that freed up money could be used to buy things. Companies would feel the need to hire more people. And prosperity for everyone except the super-rich who were depending on their private "Fed" bank to bankroll their next war or foreign bailout.

/// NEWS MEDIA COMPLICITY: ////

So many in the mainstream media want to spin Ron Paul's chances one way or the other, but it's all a load of BS. They say Ron Paul is isolationist. What a crock. Foreign trade is a good thing and not at all isolationist. Worldwide bully may not be isolationist, but who wants a bully?

/// GOP ELECTION FRAUD: ////

And the GOP is so scared of Ron Paul they've become downright brazen with their attempts to steal the nomination process -- lost votes, changed votes, ignored votes (entire counties) -- and pre-deciding delegate nominees, ignoring caucus body votes. This was on video in two separate states! And in one instance (St. Charles, MO), they had the gall to arrest the new chairman for attempting to hold a legal vote. Their charge? Only later did the man find out that he had been "trespassing" at the legally assigned caucus site.

Only in America. But get it fast, while it lasts. America won't be here next year... unless we do something about it. The door is closing fast!

/// A TIME TO CELEBRATE? ////

2013 is the 100-year anniversary of the Federal Reserve (private) Bank. Also, the income tax and the Rockefeller Foundation. And, if we can believe the late Aaron Russo, the Rockefellers and their ilk were behind 9/11 -- murder just to get more oil money and an excuse to trash the liberties of the Constitution.

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