One of the main goals of the White House is to reduce the unemployment rate. When it came out in the news that the unemployment rate is 5%, many people celebrated the news. However, this claim that the unemployment has been reduced to such a low number has been found to be false.
Turns out, many of the people who we may label as unemployed are not even counted into the percentage. If you haven’t worked recent weeks, or worked just an hour a week for lower than $20, you’re not counted as unemployed. That leaves the mind to believe there are so much more people who are unemployed than we are being told. The problem is worse than we thought.
Income and wealth inequality is already a huge issue this country faces, however, how can we even begin to discuss income inequality when there are millions of people who don’t even receive one? Finding and landing a job is tough, especially when there aren’t enough jobs available.
The unemployment rate doesn’t factor in people who work part-time, the people who have become small business owners, and even the people who simply stay home and receive benefits from their spouse. There are a lot of cases such as these that aren’t collected by the current metric of measuring the unemployment rate.
According to an article titled “How To Fix the Unemployment Rate”, posted by INC.com, there are easy steps to take to accurately measure all the people who are unemployed, such as, instead of asking a person if they have a full-time job, instead ask “”How many hours did you work this week in a revenue-producing activity?” Changing the way we measure unemployment will start giving us real numbers, and thus allowing us to find real solutions to this problem.
By: Jesmarie Disdiel