Search
 

It’s not the unemployment rate, stupid! It’s total employment

Its time to tell the media to focus on numbers that matter, not numbers that dont.

By Chris Carosa | Updated on April 09, 2014

Why does anyone pay any attention to the unemployment rate? If it’s not clear by now it’s a meaningless number, then a soon-to-be published white paper will put the issue to bed. I bumped into this ditty because I know the researcher and, as someone who speaks frequently on the subject of educating 401k investors, I was looking for some interesting economic data. (To see how this is all tied together, you might want to read “Employment Statistics, Fiduciary Duty and 401k Investor Angst,” FiduciaryNews.com, April 8, 2014.)

The white paper, tentatively titled “What Employment Data Tells Us About the Economy,” begins with the idea that the unemployment rate is correlated to our economy, as measured by GDP. Assuming that’s the case, the dramatic drop in the unemployment rate might explain the equally dramatic rise in the markets last year. Should this be the case, it would quiet all the skeptics who insist there’s a disconnect between the market and the fundamentals of the economy.

Complete your profile to continue reading and get FREE access to BenefitsPRO.com, part of your ALM digital membership.

Your access to unlimited BenefitsPRO.com content isn’t changing.
Once you are an ALM digital member, you’ll receive:

  • Critical BenefitsPRO.com information including cutting edge post-reform success strategies, access to educational webcasts and videos, resources from industry leaders, and informative Newsletters.
  • Exclusive discounts on ALM, BenefitsPRO magazine and BenefitsPRO.com events.
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com

Already have an account?

Dig Deeper

 

Recommended Stories

10 best (and worst) jobs for an early retirement

10 best (and worst) jobs for an early retirement

Richard Binder |

Many Americans are facing a disappointing reality: 1 in 5 full-time workers are not saving for retirement and 22% don’t think they’ll ever be able to retire, however, a career choice plays a huge part in whether someone can retire early, according to a new study.

BenefitsPRO

Join BenefitsPRO

Don’t miss crucial news and insights you need to navigate the shifting employee benefits industry. Join BenefitsPRO.com now!

  • Unlimited access to BenefitsPRO.com - your roadmap to thriving in a disrupted environment
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com
  • Exclusive discounts on BenefitsPRO.com and ALM events.

Already have an account? Sign In Now
Join BenefitsPRO

Copyright © 2023 ALM Global, LLC. All Rights Reserved.