Setting the Record Straight on the Jobs Report

The March jobs report came out today, and the economy, in preliminary numbers, added 121,000 jobs over the month while the unemployment rate dropped to 8.2%. Republicans seized on the number as "lower than expected," and sent their minions out on the media to say that the rate dropped only because people gave up looking for jobs. Which, of course, is not true. Good news is, it won't take too long to show. Mark Zandy, Chief Economist of Moody's Analytics and John McCain's 2008 economic adviser cleared the air on MSNBC:



The labor participation rate fell not because people gave up looking for jobs but because the babyboomers are retiring and fewer immigrants are coming in. Oh, and also, preliminary numbers are not picking up a good number of small business job creation that will eventually be included in future revisions, nor are the retail payroll numbers jiving with activity seen in the retail market. 

The bottom line is this: That the Obama recovery has created over 200,000 jobs a month the past 3 months does not make this month's number "bad news." This is the 25th consecutive month of private sector job growth under the President's watch.  And some non-governmental reports had gains in March exceeding 200,000 as well.Could the difference be the newer, small business jobs the Labor Department is not picking up yet?