Maybe it is time to consider a different way of calculating the unemployment numbers.
Perhaps we should do it using simple math via these steps:
- Take the total population by each year.
- Multiply this by the participation rate for each year to get the employed numbers
- Subtract this number from the total population.
- Subtract 80 million from this number to see how many more than average are unemployed (this removes students, retired, etc. from the calculations and it was arrived at by taking the average from 1976 – 1996 which were good times, so it should be as accurate as we can get)
- After checking my math several times, I have changed this number to 84,016,352 BUT I have not updated this picture yet
- This number was arrived after totaling 1976 to 1996 in the unemployed column and arriving at 1,764,343,402 and then dividing this by 21 which leaves 84,016,352
Still with me?
Are you wondering why no matter what we throw at unemployment, it continues to get worse?
Over the last ten years I came to realize that there were 3 categories that were making it worse.
This camp has convinced the business owner that he can make more money
The U.S.-based CEO of one of the world’s largest hedge funds told me that his firm’s investment committee often discusses the question of who wins and who loses in today’s economy. In a recent internal debate, he said, one of his senior colleagues had argued that the hollowing-out of the American middle class didn’t really matter. “His point was that if the transformation of the world economy lifts four people in China and India out of poverty and into the middle class, and meanwhile means one American drops out of the middle class, that’s not such a bad trade,” the CEO recalled.
This camp used to use the kids in the neighborhood for odd jobs
I’m not surprised. When small technology companies like mine need help we turn to outsourcing. I have ten people in my company and outsource to dozens of others. And I don’t care what country they’re from. I’m looking for good, skilled workers who are reliable and can accomplish tasks. Lately, many of my IT contractors have come from Ukraine, which has established itself as the world’s 26th most attractive outsourcing location. This is not an accident.
This is why so many Ukrainians find themselves amongst the population of Microsoft developers. And why my experience with them has been so positive. I find, for the most part, that the technologists I deal with from Ukraine have a long history of doing work in the technology field. This is due to the country’s commitment to the IT industry, which draws more of its talent. Science and math are taught from an early age. The industry receives unprecedented support from its government. Smart people are drawn there because of the chance to earn more. And for a small business like mine, the cost is incredibly low!
Un-American? Anti-labor? I don’t have time to consider that. I need work done by skilled people and I need to keep my costs as low as possible. I’m fortunate enough to be in the technology industry which means I don’t need someone to be onsite to do this work. It seems that other jobs, particularly creative jobs, are catching on to this trend too. And the tools I’ve mentioned above enable me much flexibility. So I’ll go where I can find the best people. And recently those people have been in Ukraine.
Click here to read the article.
And the very large corporations that help support the community with lots of jobs have implemented caste type systems in their corporations.