Recently released figures show the unemployment rate in Illinois to be 6.7%, down from 9.1% in August of 2013 and even better than the 6.9% unemployment in June of 2008 – thus economic recovery has come to Illinois.

However if one looks at total employment the facts are quite different.

In August of 2013 employment in Illinois was 5,963,493 but in August of 2014 the total number of employed persons did show an increase of 121,806 to a total employment of 6,085,299.  However,if compared to economic downturn the results are different.  In June of 2008 there were 6,313,552 people employed in Illinois, 142,954 more than August of 2014.

The reason the unemployment rate declined at the same time as employment declined is that people have dropped out of the labor force.  While exact reasons for individuals dropping out of the labor force are difficult to determine it is generally assumed that people become discouraged and stop looking for work thus dropping out of the labor force.

If there had been not reduction in the labor force, the unemployment rate in Illinois would have gone from 9.0% in August of 2013 to 7.1% in August of 2014 instead of 6.2%.  The difference is even more striking if August of 2014 is compared to June of 2008.  Using the labor force in June of 2008 as the base, unemployment in August of 2014 would be 10.2%

In the true spirit of democracy, people can use data in a manner that serves their needs.  Optimists look at the glass as half full and talk about reductions in unemployment rates and a recovering economy. Pessimists look at the glass as half full and see at best a recovery without increased employment.

NEXT ARTICLE Bruce Rauner’s fact-free rhetoric starting to lose its punch

RECOMMENDED

  1. Judy Ogalla: Kill the $1.3 billion Illiana Tollway boondoggle; avoid 39 years of taxpayer pain
  2. Quinn explains his position on raising taxes to the Daily Herald editorial board
  3.  August roundup: Illinois unemployment rates by city, county and metro area
  4. These are the 25 healthiest and unhealthiest Illinois counties
  5. Be a smart voter on Nov. 4. Our Election Scorecard gives the lowdown on statewide candidates’ positions on important issues