Ball State Economist Concerned About Latest Jobless Numbers
Ball State University economist Dr. Mike Hicks has big questions about the latest national unemployment figures. The Labor Department reports the nation's jobless rate fell from 7.4% to 7.3% and employers added 169,000 jobs in August.
However, Hicks says most of the reported, net job growth occurred in the government and agriculture sectors, not the private sector where it really matters. Hicks says permanent, non-governmental job numbers actually dropped by more than a half-million in August. He says that warrants action by the Federal Reserve. Hick says he doubts the government has actually added upwards of 300,000 jobs this summer.
Hicks says the June and July figures were revised downward which means the nation had a weaker summer than previously reported. He also expects the August numbers to be revised downward. Hicks says small and medium-sized businesses are being impacted by the Affordable Care Act and will remain skittish about hiring.