The US government agency responsible for publishing labour market statistics is struggling to pin down the actual unemployment rate in the world’s largest economy.
The problem is due to “misclassification” of workers in a key survey, struggles with data collection during the pandemic, and massive flows in and out of jobs.
On Friday, the Bureau of Labor Statistics, a unit of the US labour department, released its latest report on the jobs market, showing unemployment dropping from 14.7 per cent in April to 13.3 per cent in May, an unexpected improvement.
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