Is Washington Distorting The Numbers?

Is Washington Distorting The Numbers?

By Stephen Moore |

We all know that math scores have been scandalously trending downward for many years, but the folks in the government should at least be able to count.

We’re finding more and more evidence that the statistics the government is releasing to the public are increasingly suspect and unreliable. It seems like the errors are not random but perhaps manipulated for political advantage. Judge for yourself.

Let’s start with crime statistics. Former President Donald Trump said in the debate that crime is out of control, and Vice President Kamala Harris countered by citing government statistics from the FBI indicating that crime rates are falling.

But Jeffrey Anderson, former director of the Bureau of Justice Statistics, finds a surge in urban violent crime since 2019. He writes in The Wall Street Journal that “the violent crime rate in 2023 was 19% higher than in 2019.” The urban violent crime rate was up 40%, and urban property crime rate rose 26%.

How can the Left keep saying crime is down? A big reason is the FBI figures are only measuring “crimes reported to the police.” More than half of violent crimes are not reported, thanks to what Anderson calls a new era of “lax law enforcement policies” in urban areas. Police in big cities also have an incentive to undercount crimes to make their performance look better.

Next, we have jobs data. The Bureau of Labor Statistics admitted last month that it has overstated job growth by more than 800,000 positions. And in just the last year the government has also overstated job growth by almost 500,000 from the original monthly headline numbers. This is an overcount of over 1 million. In 10 of the last 13 months, the errors were in the direction of announcing too many jobs.

So President Joe Biden gets the gangbuster headlines, and the whoopsie daisy comes later when no one is paying attention.

Those aren’t just random errors. Was the Biden Labor Department finagling the data? Maybe.

Then there was the decennial Census Bureau population count. The numbers from the 2020 census were wildly wrong, as the bureau admits.

In an analysis issued in 2021 called the “Post-Enumeration Survey Estimation Report,” the Census Bureau reported which states recorded overcounts of their population, and which saw undercounts. Florida, Texas, Tennessee and other red states were undercounted by some 1.5 million residents. The overcounting was in mostly blue states like New York and Minnesota. Again, was this just an accident?

The miscount may have cost Republicans three electoral seats. This means the presidential election and control of the House of Representatives may be decided because of an error in counting heads.

These government agencies are supposed to be politically independent, and historically, they have been filled with professionals devoid of bias. But when we see the errors all bending the data in the direction of benefiting one party, one has to wonder if this is deliberate misrepresentation.

I hope I’m wrong and that these are innocent errors. But we live in an era where everything in Washington is hyper-politicized. Elections have become a blood sport. The saying is that “all is fair in love and war.” And now add politics to that.

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Originally published by the Daily Caller News Foundation.

Stephen Moore is a contributor to The Daily Caller News Foundation, visiting fellow at the Heritage Foundation, and a co-founder of the Committee to Unleash Prosperity. He is also an economic advisor to the Trump campaign. His new book, “The Trump Economic Miracle,” coauthored with Arthur Laffer, will be released later this month.

Here’s Why The Economy Isn’t Out Of The Woods Just Yet

Here’s Why The Economy Isn’t Out Of The Woods Just Yet

By Alfredo Ortiz |

Friday’s jobs report is not the home run that Democrats and the mainstream media claim. In their rush to champion topline job creation, they overlook how the jobs report is actually made up of two surveys. And the other doesn’t look so good, though it’s far more reflective of the economic reality facing ordinary Americans and small businesses.

The Bureau of Labor Statistics surveys business establishments and households each month to generate its report on labor market conditions. The establishment survey of payrolls produces the monthly job creation number the media is quick to champion. Yet even the BLS admits the household survey is “more expansive” because it also measures self-employed workers and those employed privately in households. This survey produces the unemployment rate.

For years, these surveys have tracked each other in terms of employment growth, as you’d expect. However, beginning in mid-2022, they began to diverge, with the payroll survey showing far more job creation than the household survey. Over the last year, the payroll survey finds 2.9 million jobs have been created, while the household survey reveals only 1.1 million new jobs.

In stark contrast to the 353,000 jobs created in the payroll survey, the household survey shows employment actually declined by 31,000 last month. Full-time jobs declined by 63,000. That’s a far cry from today’s headlines about a booming economy.

These household survey numbers are in line with other anecdotal and empirical data. On Thursday, the job placement firm Challenger, Gray and Christmas reported a historic 82,300 layoffs in January. This week, UPS announced 12,000 layoffs. Major companies such as Zerox, Spotify, and Hasbro have recently laid off at least 15% of their workforce. There’s also a jobs bloodbath currently occurring in the media sector.

On Wednesday, ADP reported that only 107,000 private-sector jobs were created in January.

There are other technical problems with the jobs report. Seasonal adjustments and annual revisions to population estimates have made January jobs reports notoriously untrustworthy. I can’t understand why we need opaque “seasonal adjustments” to the job numbers at all. Americans are smart enough to understand that job creation will be higher in some months and lower in others for seasonal reasons. We don’t need green eyeshades smoothing them for us.

Bipartisan tax cut legislation passed this week in the House of Representatives can turbocharge job creation in both surveys in the months ahead. The legislation, brokered by House Ways and Means Chairman Jason Smith (R-MO), extends key tax cuts passed as part of the Tax Cuts and Jobs Act in 2017, making it easier for small businesses to invest, expand, and hire.

This legislation is overwhelmingly supported by Main Street, with small businesses calling the immediate expensing provision “a game-changer.” The Senate should quickly pass this legislation and send it to President Biden’s desk to be signed into law.

In the meantime, let’s see if the payroll and household surveys continue to diverge in the jobs reports ahead. If they do, it will be more confirmation that the economy is not out of the woods yet.

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Originally published by the Daily Caller News Foundation.

Alfredo Ortiz is a contributor to The Daily Caller News Foundation, president and CEO of Job Creators Network, author of “The Real Race Revolutionaries,” and co-host of the Main Street Matters podcast.