Friday, September 7, 2012

The Reason Why The Unemployment Rate Dropped: The Labor Participation Rate Is At Fresh 31 Year Lows

Very soon (the way the chart looks) the labor participation chart is going to look like something right out of the late 60's or early 70's, when it was not necessarily normal for women to work. Yes there was a time when women actually stayed home and kept house, and raised their kids. Our children where better off, for those days of glory gone by, as well. Gangs were almost non existent, and the drop out rate was well. Moms at home do actually benefit their children. Old fashion,I know, but one cannot deny the benefits derived from it. Teenage pregnancy was almost unheard of, and when it did happen, the kids responsible for it either got married, or the baby was given up for adoption, because there was no such thing as "Aid for dependant Children" or "WIC". Society was still of the mind frame back then, that, your error was your problem. All women back then, knew how to cook, because there was no such thing as microwaves and fast food joints on every corner, nor was there the huge choices that we now have for prefab food. Children were healthier for it as well, because childhood obesity was pretty much non existent. When kids came home from school back then, mom had their snack ready, sat down and did their homework with them, and then the kids went outside to play with their friends until Dad came home and Mom rang the dinner bell to call them into eat. ADD and all it's derivatives didn't exist, because mothers actually had time to teach their children things like patients and the proper manners of being a decent little human being. Children didn't run their parents, because parents actually knew how to parent back then, and moms would put a swift stop to bad behavior. They didn't make up excuses for temper tantrums because in essence, they weren't tolerated, because society still considered it an embarrassment factor back then and a large reflection was taken into consideration, against the mother and the father, as to how well they were actually caring for their kids. Children weren't depressed or shunned by their peers back then, because mothers knew how to socialize with each other on a much more intimate basis than they do today and their fledgling learned by those examples set.
It was the best of times, without the worst. People didn't try and keep up with the Jones, because their were no Jones yet. They weren't created until women actually went outside the home to work, which then allowed envy then to rear it's ugly head, so that all women felt the need to work, to buy the extra things, that going to work allowed, those other women to have, thus giving birth to the Jones.
Anyway sorry for the side track, but it was actually taking me to a point, that being, of the number of jobs in existence, as opposed to the number of people in the work force. Basically it boils down to, not enough jobs for to many people. Wage is stagnant, because employers are spoiled for choice and don't have to give into demand.
Could part of the solution to this problem be, to revert back to the time when wholesome was not a bad word? When Mom's job, was to take care, of her family, and it was accepted as being a very important position in society, rather than looked upon, as being a "lazy loaf", for having stayed home to work, in the traditional manner? The males of society would definitely have a little more leverage in negotiating a wage increase, there is no doubt about that, because the competition for his position would be cut in half.
Anyway, it's something for society as a whole to ponder upon, in order to procure, a cure for labor participation's recovery. Rather than Mom trying to be "Supermom" (with career and the "home" factor) and making herself, as well as her family, neurotic in the attempt,wouldn't it just be better for "all" for Mom just to allowed to be Mom?
"Ozzy and Harriet" wasn't so bad, and "June and Ward" had it really going on, and if something doesn't give, we're all going to be living like the "Waltons" except most of us don't "own" the mountain to live on.
Think about it.


Curious why the unemployment rate dropped from 8.3% to 8.1%, even as just 96,000 jobs were added? The labor participation rate declined from 63.7% to 63.5%, the lowest since 1981. It means that somehow in August the labor force declined by 368,000 people, which is a paradox since according to the household survey 119,000 jobs were lost in August, yet at the same time the unemployment rate dropped. Remember: it is an election year