STATEMENT: CAP Economist Michael Madowitz on the September 2016 Jobs Report
Washington, D.C. — Center for American Progress Economist Michael Madowitz released the following statement on the September 2016 employment situation figures from the U.S. Bureau of Labor Statistics:
Today’s employment report continues the economy’s trend of solid job growth, with month after month of healthy gains. Eight years ago this week, the United States lost 452,000 jobs. Today, the nation added 156,000 jobs, and the unemployment rate is 5.0 percent.
Even more exciting, the economy is finally seeing the tightening labor market drive real income growth for families—a trend that this month’s data suggest is continuing, with solid gains across the entire economy. Wage growth is healthy—hourly earnings are up 2.6 percent over the past year. Inflation is in check, and with the unemployment rate relatively flat all year, the economy is on a stable long-term trajectory. There is little macroeconomic basis for higher interest rates. Inflation remains stubbornly low, and the economic risks will be larger if the Federal Reserve slows the economy down than if growth picks up even more. If the Fed is willing to let the economy grow, this expansion looks poised to continue to set records, if quietly.
Related resource: The State of the U.S. Labor Market: Pre-October 2016 Jobs Release by Michael Madowitz, Gregg Gelzinis, and Annie McGrew
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