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Unemployment rate drops to 7.8 percent

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  • Description

    Employers added 114,000 jobs in September

  • Duration 3:55
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I'm Martha MacCallum so the last time we saw the rate this low.

That would be January 2009.

Right back when President Obama took office the Labor Department says of these numbers and employers added.

Only a 1141000.

Jobs over the course of that month.

So that raises a lot of questions.

About this headline number many of the jobs or seeing that -- added that number are part time job.

-- Stuart Varney now anchor -- company the Fox Business Network.

You read what if there is widespread mistrust.

Of this report and these numbers because they're up -- up contradictions.

873000.

People said they had found a book.

But only a 1141000.

New jobs will created that is a contradiction.

If you delve a little deeper seems that a lot of these people who found walk that will be that's the 8873000.

If you look deeply.

It turns out that 600000.

Of those 873000.

People will pop time -- So they came back into the labor force and they push the unemployment rate down to seven point 8%.

But as a contradiction -- between the number of new jobs created.

And the number of people saying they found what it was part time world they'll -- but it's -- how do you drop a third in the overall number and only had about a 100000 jobs well.

The actual -- the unemployment rate is taken from what's called the household so today.

That's which fat that's the -- the -- that found 873000.

People found walk.

The payroll sub -- which is also part of the jobs report.

That's the one that showed a 1141000.

New jobs that's it so there's a contradiction between one side of the -- -- and the other side producing this anomaly.

-- sharp drop in the unemployment rates.

But a very minuscule number of new jobs create I -- OK now what -- get GP GDP growth one point 3% right up that's there were growing right now and the underemployed when you put all these numbers together for the people who were out of work.

We're working for jobs that perhaps it took for a lower salary.

That's still staggering -- -- -- 43.

Not quite 3000014%.

Is the number 23 million is the number -- by governor Romney -- in the debate it look it is a grim employment situation.

Any which way you slice K but now tiger still now below the big number you're you're below 8%.

So so to the politics on this now.

That's west some of the mistrust comes it.

Oh how convenient that the rate drops below 8% for the first time in 43 months five weeks before an election.

That's what has some dismiss trust that these numbers along with the contradiction.

Between 873000.

People found -- Only a 1141000.

New jobs right mistrust and as well on that point it'll be interest -- you see how -- Obama plays this in Fairfax Virginia later today.

And also how Mitt Romney responds he's also in Virginia southwestern part of the state also reported that.

I suspect that the president will play big and saying we're going in the right direction look at this seven point 8% how governor Romney will respond I don't know I'm Stuart thank you see at night warning -- -- okay Stuart thank you for that debates are coming out of so pop up yet again market.

It well -- get you some context here on all of this back in December of 2007.

When the recession began the unemployment rate was 5%.

In October of 2009 -- the peak that you see on this chart that's 10%.

Unemployment rate in the country economists say that -- -- US economy would have -- jobless rate of about 6% that's somebody yellow line is he across the chart there.

Today's report shows that unemployment rate dropped but stayed well above the mark of a healthy.

Economy and so much of this comes to people how they feel.

About how to do it right protect too also on you know -- on the health of the economy and how things are going so we're gonna check on them throughout the morning here.

A four minute.

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