Non Farms Payroll Report Redux
There's a wild card in the next four months' jobs figures: assumptions that the Labor Department makes for new companies it thinks, but can't prove, are being created.
In February, 2004 the Labor Department added 115,000 new jobs for these start-up companies. Since thet number is fairly modest, Wall Street's guess for February could be correct.
The fun starts when March job growth is announced in early April.
The Labor Department assumed 153,000 jobs were created by these new mystery companies in March, 2004; 225,000 were added last April; 204,000 in May and 181,000 in June. All are very optimistic guesses.
If you remember back to the spring of 2004 the country was excited about a jobs boom. But that boom never materialized because it was nothing more than a statistical fluke. And when the fluke turned last summer, there was enough pessimism that the economy became a campaign issue.
See: Here's Why Interest Rates Are Going Up
http://www.nypost.com/business/22192.htm
In February, 2004 the Labor Department added 115,000 new jobs for these start-up companies. Since thet number is fairly modest, Wall Street's guess for February could be correct.
The fun starts when March job growth is announced in early April.
The Labor Department assumed 153,000 jobs were created by these new mystery companies in March, 2004; 225,000 were added last April; 204,000 in May and 181,000 in June. All are very optimistic guesses.
If you remember back to the spring of 2004 the country was excited about a jobs boom. But that boom never materialized because it was nothing more than a statistical fluke. And when the fluke turned last summer, there was enough pessimism that the economy became a campaign issue.
See: Here's Why Interest Rates Are Going Up
http://www.nypost.com/business/22192.htm
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