Today’s posts are going to focus on the Friday employment report from the government — but first the EleBlog would like to dwell a bit on the stupidity of Jack Welch.
Now, perhaps this is wrong. Perhaps the guy is suffering from the ill affects of getting old (it happens or will happen to all of us who do not die before 60). So certainly, without an explanation, we might – ordinarily – need to temper our enjoyment.
However, Welch basically tweeted this: The unemployment numbers that came out Friday were manipulated; “those Chicago guys” are up to their same old stuff.
On the Chicago angle — well, Richard Daley did throw the 1960 election to Kennedy. The classiest thing Richard Nixon did in his entire public life was to NOT pursue an investigation.
On the numbers being manipulated:
(a) It’s impossible to do what he said was done.
(b) If one were to manipulate a number before an election, one would not come up with an employment gain of 114,000 for a nation of 310 million people. I would have raised my eye at 258,000 or some HUGE gain like that — an outlier. That’s not what happened.
(c) Government data bounce around. One month means nothing, and everyone should know that. Even someone as obviously stupid as Jack Welch.
(d) I’ve written stuff critical of Jack Welch previously, in articles written for customers. None of it was ever posted. Why? Don’t wanna piss off GE.
(e) However, other people are not constrained by that. See the Barry Ritholtz piece, GE’s Jack Welch Knows About Cooking The Books.