There is a lot of surface level analysis of todays jobs report. We added 113,000 jobs which is a lot less than the analysts predicted (185,000), so that's bad. Unemployment went from 6.7 down to 6.6. That's the U3 number. People who look at unemployment numbers like to quote the U6 number however, and this month it went down as well from 13.1 to 12.7, so that's good. Labor participation rate in Dec was at a historical low of 62.8% and this month it's up to 63% so that's good. But most believe it went up because we kicked a lot of people off of unemployment so they have to start actively looking for work which is the only requirement for being counted in the labor participation rate. People will throw these numbers around over the next week or so and interpret them however they can to make their case that the Presidents policies are working or they aren't. But there is a far larger problem that both parties are avoiding.
The retirement age in the US is 67. Life expetancy in the US is now 80 and getting higher every year. We set 65 as the original retirement age because according to the Soc Security admin "some people thought 70 was too high and others said 60 was too young". Yes we pulled it out of our butt. But that wasn't a problem when you had so many people working and very few retirees. Last Spring Forbes published an article entitled The Greatest Retirement Crisis in American History! The Huffington Post had almost a duplicate article a few months later. Both sides of the isle are aware of the problem. The birthrate in America has been dropping since 1959. Meaning that the we have arrived at the dreaded date when more people will be retired than working. By 2020 we are projected to have 100 million people retired and living off social security.
We are getting upside down. More people not working than those who are. The CBO report says that 2 million people will stop working because the they are disincetivized to work because of the Affordable Care Act. Dems say this is good news because people won't be stuck working jobs they hate and will be free to retire or spend more time with kids. It is horrible news! We need everyone of those 2 million people to work and millions more. Wake up Democrats!
We do need millions more employees and employers to grow our economy. The people who usually are the job creators or even the industry creators are people with PHD's and Masters. For every Steve Jobs and Bill Gates there's 100 Natya Sadella's. People who have earned degrees and gone on to create or grow companies. We had 819,000 international students enrolled in our universities last year. These are some of the brightest minds in the world. And the vast majority will be returning home upon graduation to help grow their country. Many of them would like to live here but our immigration policy quota limits green cards for individual countries to no more than 7%. So it's almost impossible for someone from China or India to get here compared to someone from Iceland or Belgium. We need to reform this policy to allow the brightest minds in the world to stay here! But this week Republicans announced there would be no immigration reform. Their reason is they don't trust Obama to strengthen the southern border. So do nothing? The border is still open and we're sending the best minds away. Wake up Republicans!