Phantom Jobs and Economic Recovery in America - by Stephen Lendman
On May 6, headlines cheered the new jobs report, New York Times writer Motoko Rich headlining, "Payrolls Show Strong Growth but Jobless Rate Rises," saying:
"For three straight months, the nation's employers have delivered solid job growth, easing some concerns that the economy could be slowing."
Bloomberg.com's Timothy Homan said:
At 244,000, "American employers in April added more jobs than forecast....indicating the world's largest economy is weathering the impact of higher fuel prices."
Wall Street Journal writer Sara Murray wrote:
"Job engine shifts to higher gear (as) companies cranked up hiring in April to the fastest pace in five years...."
In fact, labor force participation held steady at 64.2% for the fourth consecutive month, down from 66% in 2006. Moreover, economist Jack Rasmus estimates 25 million unemployed, a number showing downturn, not growth. He also explained that considerably more workers left the labor force than entered it, saying: