Why Job Growth Might Be Better Than It Seems
"Whatever happens tomorrow, it’s worth keeping something in mind: The official government statistics are probably understating job growth right now. That tends to be the pattern after recessions end. As the economy is starting to add jobs again, the Bureau of Labor Statistics understates job growth. And the opposite happens during recessions. Then, the government understates job losses."
~David Leonhardt in the NY Times Economix blog
MP: As the chart above shows, the BLS revisions to employment levels are generally positive during expansions (initial reports of job gains are later revised upward) and negative during recessions (initial reports are revised downward), and this pattern was consistent following the last two recessions. In that case, employment gains could actually be better than what gets reported initially.