Friday, June 01, 2012
SBE Council Chief Economist on Latest Jobs Data
Today, Raymond J. Keating, chief economist for the Small Business & Entrepreneurship Council (SBE Council), released the following statement in response to the May employment data reported by the U.S. Bureau of Labor Statistics:
"The latest data from the Bureau of Labor Statistics continues to tell a mixed story on jobs and the U.S. economy.
"The establishment survey pointed to an increase of only 69,000 in employment for the month of May, far below expectations and where job creation should be - at 240,000 to 250,000 - during a recovery.
"However, at the same time, the household survey showed an increase of 422,000 in employment, as well as an increase of 642,000 in the labor force. Those increases came after two-month declines in both. Household survey data is volatile form month to month. One hopes that the May performance will become a trend, but it's hard to envision such a turn, unfortunately, given the policy realities at hand right now.
"The story of uneven, under-performing job creation is not surprising. It's exactly what we should expect given a policy environment emphasizing higher taxes, increased regulation, excessive government spending crowding out the private sector, and a lack of leadership on trade. The U.S. economy desperately needs a change in public policy to ignite entrepreneurship and investment, and the economic growth and job creation that result. If that does not happen, we all better get used to slow growth and poor job creation."