Interpreting the Job Creation Data for Job Creators
U.S. employers added 169,000 jobs last month. The unemployment rate fell to 7.3 percent from 7.4 percent the previous month. Economists had been expecting job expansion of about 170,000 to 200,000. The Washington Post scores this as a clear signal for an improving economy while The New York Times and other media are more circumspect. Both seem to ignore the fact that if the economy were to fill the jobs gap left by the recession within the next four years, around 300,000 jobs a month would need to be created, according to the Hamilton Project at the Brookings Institution. Why business leaders should take a cautious look and see what’s behind the data.