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U.S. Jobless Figures Worse Than Expected

October 3rd, 2009

The Department of Labor’s report on unemployment for September was just released, and it came as a dismal surprise to those proclaiming an end to the recession. Instead of a further reduction in lost jobs, the number actually increased in September.

According to the Department of Labor, a net total of 263,000 Americans jobs disappeared in September, taking the official U.S. unemployment rate to 9.8%, its highest level since 1983. In addition, the average workweek was reduced to 33 hours, the worst showing since the end of World War II. Those are the official numbers.

However, when one looks at the real  unemployment numbers, factoring in discouraged workers and the underemployed, the numbers are in excess of 17%; some estimates rank as high as above 20%. While the government can manipulate the unemployment statistics all it wants to artificially deflate the actual rate of unemployment, there is one number that cannot be played with; tax receipts. Fewer employed Americans mean less tax revenue for Washington. The U.S. federal government’s tax receipts are down by more than 20%, while spending is soaring to record levels. If this is an economic recovery, it is heavily disguised.

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