The U.S. Labor Department reported that the economy added 206,000 jobs in June and the unemployment rate came in at 4.1%. It was 4% in May. It was the 41st straight month of positive job growth and the 4.1% unemployment was still within historical low territory. In the same time period during the Trump administration the unemployment rate for June 2020 was 11%. The job numbers exceeded that predicted by ADT and the negative voices who were predicting somewhere around150,000 jobs.
After the report was released, the usual banter took place in social media. The Pros and Cons were all over the lot; some still talking about a recession; a soft landing for the economy; no recession in 2024 and the beat goes on and on. The question when the Feds will lower interest rates changes every day.
Three and half years after the President took office the economy is still doing well, creating jobs, keeping the unemployment rates at historical low levels, keeping America working and spending despite inflation. The recession predicted for the 2nd quarter of 2022 never took place then or as of this writing. Top economist, the negative voices, many CEO's with financial institutions urged the Feds to raise interest rates high and fast when inflation first took hold. The idea was to cool the economy, raise unemployment with major layoffs, a failed ideology that hurts the consumers more than anyone else. Now those same voices are talking about a shrinking job market, higher unemployment and are urging the Feds to cut interest rates.
It should be noted that the unemployment rate when Biden took office in January of 2021 was 6.3%. Only one republican administration in the last 80 years left office with an unemployment rate lower than when he took office and that was Ronald Reagan. But every democratic administration during that same time period left office with a lower unemployment rate than when he took office with the exception of President Carter where the unemployment rate stayed the same. GOP administrations have a terrible record on job creation and lowering the unemployment rate and Trump continued the tradition as 2.7 million jobs were lost on his watch.
President Biden, unless things change between now and the end of his term can continue the democratic precedent of positive job growth and lower unemployment for Americans.
Note: Unemployment information herein taken from the historical records of the U.S. Labor Department
This commentary written by Joe Lorio
