U.S. Unemployment Rate Falls to 7.8 Percent

First time below 8 percent since Obama took office

UPDATE: Nonfarm payrolls came in right in line with estimates at 114K, but the unemployment rate tumbled to 7.8 percent.

Comments

[C. S. P. Schofield]

And we believe this data out of the Obama administration, just before the election, why, exactly?

[T o n y]

You and Jack Welch need to show your work.

If every bit of news you don't like can be attributable to a conspiracy just because you say so, why should anyone ever listen to you?

[gaijin]

So Tony, explain the dif between HH survey, used in the unemployment rate cal, and the establishment survey, which is not. Does 800K jobs in one survey (the one used to calculate the rate) and 114K in the other (the one not used) raise any issues in your mind?

[T o n y]

From the BLS:

Differences in employment estimates. The numerous conceptual and
methodological differences between the household and establishment
surveys result in important distinctions in the employment estimates
derived from the surveys. Among these are:

--The household survey includes agricultural workers, the self-
employed, unpaid family workers, and private household workers
among the employed. These groups are excluded from the
establishment survey.

--The household survey includes people on unpaid leave among the
employed. The establishment survey does not.

--The household survey is limited to workers 16 years of age and
older. The establishment survey is not limited by age.

--The household survey has no duplication of individuals, because
individuals are counted only once, even if they hold more than one
job. In the establishment survey, employees working at more than
one job and thus appearing on more than one payroll are counted
separately for each appearance.