Normal view

There are new articles available, click to refresh the page.
Yesterday — 6 August 2025Main stream

Jobs, data and democracy

6 August 2025 at 10:15

Photo by Architect of the Capitol | U.S. government work via Flickr

The July jobs report released last Friday wasn’t pretty. It showed weaker than anticipated U.S. job growth in July, and there were substantial downward revisions of jobs numbers for May and June as well. Economists predicted a slowdown. The chaos of tariff threats has created substantial uncertainty, which is bad for the economy, and the tariffs that have gone into effect have raised prices. It’s no surprise, then, that we’re seeing a slowdown in jobs. 

Moody’s chief economist Mark Zandi noted on social media, “It’s no mystery why the economy is struggling; blame increasing U.S. tariffs and highly restrictive immigration policy. The tariffs are cutting increasingly deeply into the profits of American companies and the purchasing power of American households. Fewer immigrant workers means a smaller economy.”

But instead of reflecting on mistakes in economic policy or offering some austerity suggestion, like limiting U.S.  children to  two dolls each , President Donald Trump blamed the messenger, firing the government official in charge of the data release, commissioner of the Bureau of Labor Statistics (BLS) Erika McEntarfer. He baselessly asserted that the bad news was “concocted” and suggested that he knows better than the data. The economy is great, according to him, and he will find a commissioner to tell him so.

Trump’s approach is a disaster for economic decision making and for public trust. The BLS is an independent agency with a strong legacy of providing the data that businesses, analysts and policymakers need. Good economic decisions require reliable data. As the American Economics Association wrote: “The BLS has long had a well-deserved reputation for professional excellence and nonpartisan integrity. Safeguarding this tradition is vital for the continued health of the U.S. economy and public trust in our institutions.” 

The BLS monthly jobs report provides a timely snapshot of labor market dynamics which inform investing and hiring decisions as well as policy choices. BLS data also measures the rate of inflation through the consumer price index. The rising price of goods is not only a key economic indicator but also the scale by which Social Security payments are adjusted and a point of reference in private and union wage negotiations.

BLS data are essential to understanding what is going on in the economy, when a slowdown is emerging, and the cost of daily life. The independence and integrity of the agency, long assumed and supported by both parties, is now under attack.

Wisconsinites lived through something like this more than a decade ago. Former Republican Gov. Scott Walker promised to create 250,000 jobs in his first term. He focused on the goal relentlessly, at least until it became clear that he would not meet it. (In fact, the Wisconsin economy didn’t even meet Walker’s first term goal across his two terms – adding just 233,000 jobs by the time he left office after serving for eight years.)

In the first years of Walker’s  “relentless focus on jobs” under his administration’s tagline  “Wisconsin is Open for Business,” the monthly numbers showed that Wisconsin’s economy was growing more slowly than the national labor market and neighboring states. 

Walker blamed the data. He insisted that we wait instead for a federal source which was more reliable, but had a substantial time lag. As someone who watches this data, I can assure that this was the only time in my three-decade career when differences between monthly and quarterly sources of federal jobs data were a policy talking point. 

But in the end, the data issue was just a distraction from the truth. Wisconsin was growing more slowly, and no amount of complaining about the data or waiting for another source on jobs could change that fact. Eventually, the Walker administration went silent on both the data and the promised 250,000 jobs. 

Trump’s approach is worse than waiting for another source of data. His firing of the commissioner suggests that he’ll only accept data that confirms his narrative. And that makes it harder for any of us to trust any data the federal government is willing to release. 

That’s bad for the economy and bad for democracy. As narrow and nerdy as this topic may seem, we all have an interest in facts and reliable data. We have had a government infrastructure capable of producing it. We lose it at our own peril.

GET THE MORNING HEADLINES.

❌
❌