(ThyBlackMan.com) When the Bureau of Labor Statistics (BLS) delivers its April jobs report on May 8, 2020, at 8:30 a.m., it will show high unemployment rates for the general population. It will also, show the black population, which is the first worker group laid-off in any Economic Downturn has slipped into a Great Depression.
However, because the Trump administration is low balling the unemployment numbers by using the category of U-3 based on the Alternative Measurements of Unemployment (http://www.bls.gov/news.release/empsit.t15.htm), the nation won’t know the true condition of the labor market. Presidential administrations can manipulate the “official” unemployment rate, based on the category it uses, for their own political purposes. At this time, the Trump administration in its press releases, of the condition of the labor market, is using U-3, as the “official unemployment rate.”]
Experts, the majority of economists, knowledgeable and experienced people, who follow these numbers see the U-6 category, as being the “real unemployment rate” of the U.S. economy ( https://thyblackman.com/2020/04/16/duplicity-and-the-unemployment-rates/ ). This is based on an article in the prestigious magazine named, the Monthly Labor Review, published first in 1915. The monthly publication describes itself, as the principal journal of fact, analysis, and research from the BLS, an agency within the U.S. Department of Labor.
In an article, which appeared in its October, 1995 edition, by John E. Bregger, a retired Assistant Commissioner for Current Employment Analysis and Steven E. Haugen, an economist, at the time, in the Division of Labor Force Statistics, Bureau of Labor Statistics, they state, “ (U-6) is the most comprehensive of the new range of alternative measures,…” of the rate of U.S. unemployment.
Mr. Trump has less than a stellar reputation, when it comes to telling the truth. Many, would even say, he lacks integrity. However, Mr. Biden, who is the Democratic Party’s presidential nominee, is reputed to be a different story.
Former President Obama said this of Mr. Biden in his endorsement of him for President of the United States, “…That having leaders who are informed, and honest, and seek to bring people together rather than drive them apart – those kind of leaders matter.” Then, there is Congressman Clyburn’s endorsement, who many say, was responsible for launching a moribund Biden presidential campaign to success; he said this about Mr. Biden; …“(he will) restore respect for this country, dignity in the White House.”
And honor, extends beyond Mr. Biden to the Democratic Party itself. Nancy Pelosi, the Speaker of the House, is credited with saying this: “The American people voted to restore integrity and honesty in Washington, D.C. and the Democrats intend to lead the most honest, most open and most ethical Congress in history.”
The usage of U-3, as the official unemployment rate understates national unemployment rates. It denies the nation accurate data, when it comes to the unemployed. This practice especially hurts Black Americans, because under counting the nation’s unemployed hides how high the black rate really is, as they face Great Depression era unemployment, beyond 25%.
So, an easy fix for Mr. Biden, the Democratic Party, the nation and Black America is, in a national press conference, Mr. Biden can declare, upon being elected President of the United States, his administration will discontinue the horrible and dishonorable practice of using U-3. In its place, he can state, the U-6 category unemployment rate will become the official unemployment rate of his administration.
This action denies Mr. Trump the usage of the U-3 category, as a means to under count the nation’s unemployed with impunity. If you go to the link of Alternative Measurements of Unemployment above, there you will see, the U-3 category, his administration’s official unemployment rate, shows the rate of national unemployment in March was 4.4%, while the U-6 category, the rate the majority of economists, and the BLS states is the most comprehensive measure of national unemployment shows the “real unemployment rate” is 8.7%.
By declaring his administration will use U-6, Mr. Biden, offers encouragement to and a reason for young voters, who the Democratic Party needs to turnout in large numbers and who have been hit hard, especially African Americans, by this Economic Downturn, a reason to vote Democratic.
Actions always speaks louder than the laudatory words above. Through this course of action, the Biden campaign can bring back honesty, honor and integrity to the political process. For voters like us, we get to see, as a result of taking this modest step, if Mr. Biden and the Democratic Party are, who they say they are.
We really don’t need Mr. Obama, Nancy Pelosi, the Speaker of the House, Congressman Clyburn, the Congressional Black Caucus or organizations like the NAACP to tell us about Mr. Biden and the Democratic Party, we get to see “the truth” for ourselves!
If Mr. Biden and Democrats are unwilling to take action on an issue, “we know” is doing great harm to the lives of American workers and especially, African American families, can he be trusted to act in our best interest, when it comes to, even bigger issues?
Staff Writer; James Davis
Mr. Davis is a leading expert and consultant in Financial Analysis and Social Dynamics. He is a graduate of Florida A. and M. University (FAMU), a former stockbroker, and a human rights activist who resides in Sanford, Florida. He was awarded the prestigious Governor Haydon Burns Scholarship to attend FAMU and while at FAMU was awarded the first Martin Luther King Scholarship. He is the author of three books, among them is “The Fix This Time,” Boost Your Retirement Income! Simultaneously Create Jobs and Spur Economic Growth (https://www.amazon.com/dp/B00MI3PD2M).
Mr. Davis can be reached through his blog @ https://thefixthistime.com.