(ThyBlackMan.com) There is a proverb, in the Holy Bible, you should be aware of, as you read this article. It’s Proverbs 18:24, which states: “A man that hath friends must shew himself friendly: and there is a friend that sticketh closer than a brother.”
Having read that, your thoughts might naturally transfer to what exactly is the definition of “friendly.” Webster Dictionary defines friendly, as showing kindly interest and good will; not hostile; serving a beneficial or helpful purpose.
So, what does this have to do with Biden, the Democratic Party and its relationship with American workers? Well, President Trump, in announcing the unemployment rates for May, did something that wasn’t beneficial to American workers and indeed, the nation. Joe Biden, as the presidential nominee of the Democratic Party and the Democratic Party did nothing, at all, in calling out Mr. Trump for this offense, when it’s well within their power to do so.
Mr. Trump lied, as he didn’t give the nation and working class Americans, a comprehensive picture of the nation’s unemployment situation. The Trump administration, is low balling the unemployment numbers, by using the category of U-3 based on the Alternative Measurements of Unemployment (https://www.bls.gov/news.release/empsit.t15.htm).
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 Bureau of Labor Statistics (BLS), an agency within the U.S. Department of Labor.
In an article, titled, “BLS Introduces New Range of Alternative Unemployment Measures,” 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, on page 24, “ (U-6) is the most comprehensive of the new range of alternative measures,…” of the rate of U.S. unemployment (https://www.bls.gov/opub/mlr/1995/10/art3full.pdf).
Yet, Mr. Trump ignores the experts, and uses U-3, as his official unemployment rate. You may ask, why is this significant? There are three basic reasons:
1) As Biden, Democrats and health officials, so aptly point out, when it comes to COVID 19, we should follow the advice of health experts, in order to control the spread of the virus to reduce deaths. In following the advice of the experts, the politicization of the virus and treatment are eliminated.
Shouldn’t the same rule of thumb be applied to our unemployment rates? Basically, we should want to know the cold hard facts, without coloring by either political parties. Using U-3 by the Trump administration fails that test. Click on the link above regarding “Duplicity and the Unemployment Rates,” to see why.
2) When you click the link above, leading to the chart of the categories, you see there is a radical difference between the Trump administration’s official rate of U-3; 13.3% unemployment and the more comprehensive rate recommended by the experts. U-6, which is regarded, as the real unemployment rate, places the nation’s unemployment rate at 21.2%.
Policy decisions, in regard to whether the nation needs additional monetary stimulus and the amount of stimulus, are based on these numbers. The 21.2% rate clearly puts our nation’s unemployment situation near the Great Depression Era unemployment rate of 25%. Because Black America’s unemployment rate is conservatively, usually 3-5% higher or more, they have surpassed that Great Depression mark, of 25%. At the high end of 26% unemployment, that means 26 African Americans out of every 100, looking for work, can’t find full time employment.
3) We diminish the value of working class Americans, by lying about how many have lost their jobs, due to this Economic Downturn. The United States is also, diminished. We are reduced, as the beacon of the free world and a trusted agent of statistical data and information. What then, separates us from nations, like China, Russia and banana republics around the globe, who routinely falsify economic data regarding their economies?
How is lying, about the appalling jobless rates, helpful to working class Americans? What beneficial interest is gained by them, because of this deliberate lie and distortion of facts? As a matter of fact, it is a hostile act, as it will affect future stimulus decisions, by suggesting this Economic Downturn is shallow, when the real numbers paint a different picture.
The silence of Mr. Biden and Democrats, when it comes to under counting the unemployed and under employed doesn’t agree with the definition of being friendly to American workers. Silence, isn’t in the best interest of workers! Martin Luther King said this, about silence; “In the end, we will remember not the words of our enemies, but the silence of our friends.”
There is a fix for Mr. Biden and the Democratic Party. 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 and under employed, with impunity.
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.