The Bureau of Labor Statistics released new jobs figures for August
Nonfarm payroll employment decreased by 84,000 jobs in August, and the unemployment rate rose to 6.1 percent. While
these numbers are disappointing, what is most important is the overall direction the economy is headed. Last week, the
economy posted a strong gain of 3.3 percent at an annual rate in the second quarter, led by growth in consumer spending,
exports, and a well-timed and appropriately sized stimulus package. This level of growth demonstrates the resilience of
the economy in the face of high energy prices, a weak housing market, and difficulties in the financial markets. Orders
for durable goods have been rising in recent months. In addition, productivity growth over the past four quarters has
been strong at 3.4 percent – above the averages for each of the past three decades over the course of the
Administration.
ENDS