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View Full Version : Wall Street advisor: Actual unemployment is 37.2%, 'misery index' worst in 40 years




CaseyJones
01-21-2014, 01:46 PM
http://washingtonexaminer.com/wall-street-advisor-actual-unemployment-is-37.2-misery-index-worst-in-40-years/article/2542604


Don't believe the happy talk coming out of the White House, Federal Reserve and Treasury Department when it comes to the real unemployment rate and the true “Misery Index.” Because, according to an influential Wall Street advisor, the figures are a fraud.

In a memo to clients provided to Secrets, David John Marotta calculates the actual unemployment rate of those not working at a sky-high 37.2 percent, not the 6.7 percent advertised by the Fed, and the Misery Index at over 14, not the 8 claimed by the government.

Marotta, who recently advised those worried about an imploding economy to get a gun, said that the government isn't being honest in how it calculates those out of the workforce or inflation, the two numbers used to get the Misery Index figure.

Zippyjuan
01-21-2014, 01:57 PM
So he is looking at the Labor Force Participation Rate. If you use that figure, the US Unemployment rate has NEVER been below 33%.

Labor Force Participation Rate is 62.8% which exactly coresponds to his 37.2% unemployment figure. http://data.bls.gov/timeseries/LNS11300000\

That includes people who don't want to work like students, housewives and retired people over the age of 16.

http://www.zerohedge.com/news/2014-01-10/people-not-labor-force-soar-record-918-million-participation-rate-plunges-1978-level
http://www.zerohedge.com/sites/default/files/images/user5/imageroot/2014/01/LFP%20Participation_0.jpg


and the Misery Index at over 14, not the 8 claimed by the government.

The "Misery Index" is the sum of the unemployment rate plus the rate of inflation- so if he says that the Misery Index is 14 that means that he really believes that unemployment is not 37% percent. Unless inflation is minus 23% a year.

Worst Misery Index in 40 years?
http://inflationdata.com/articles/wp-content/uploads/2013/12/US_Misery_Index_Dec_2013.jpg
http://inflationdata.com/articles/misery-index/