The Bureau of Labor Statistics says the economy added just 80,000 jobs in June, far less than the 176,000 private sector job growth for June reported yesterday by ADP. Unemployment remained at 8.2%. These are disappointing numbers that Republicans will celebrate. Analysts had expected the economy to add between 90,000 and 100,000 jobs in June.
Go to the Global Economic Intersection (GEI) for a good discussion of what these numbers mean and, in particular, the differences between the ADP and BLS methodologies. GEI says BLS can be off as much as 100,000 jobs in their initial estimates due to their sampling methodology. GEI says that due to adjustments made in the BLS formula after the 2008 recession, BLS estimates of job growth have been consistently too low. Go her and scroll down to the bottom of the GEI post to read more about problems with the BLS estimates: http://econintersect.com/wordpress/?p=23929