On March 1, 2013, President Obama ordered into effect the across-the-board spending cuts (commonly referred to as sequestration) required by the Balanced Budget and Emergency Deficit Control Act, as amended. Under the order, the Bureau of Labor Statistics (BLS) must cut its current budget by more than $30 million, 5 percent of the current 2013 appropriation, by September 30, 2013. In order to achieve these savings and protect core programs, the BLS is taking the steps listed below:
- Eliminate the Measuring Green Jobs products.
The BLS produces data on employment by industry and occupation for businesses that produce green goods and services. The BLS also conducts special employer surveys to provide data on the occupations and wages of jobs related to green technologies and practices, as well as develops and disseminates career information related to green jobs.
- Eliminate the Mass Layoff Statistics program.
The Mass Layoff Statistics program provides information that identifies, describes, and tracks the effects of major job cutbacks in the economy.
- Eliminate the International Labor Comparisons program.
The International Labor Comparisons (ILC) program adjusts foreign data to a common framework of concepts, definitions, and classifications to facilitate data comparisons between the United States and other countries. ILC data are used to assess United States economic performance relative to other countries, as well as to evaluate the competitive position of the United States in international markets.
- Freeze hiring and curtail spending.
The quality and quantity of some BLS data likely will be diminished, as fewer resources are available to collect and review data or to perform data analysis. This may result in lower response rates, fewer published estimates, and a loss of detail in some data series. The reduced funding level also may result in a decline in customer service, as fewer Federal and State staff will be accessible to respond to data inquiries from the public, other Federal government agencies, and Congress.
Through these measures, the BLS expects to preserve to the extent possible the quality of its remaining products; however, the actions described above will reduce somewhat the ability of the BLS to supply timely and accurate information on the economy and labor market, and halt implementation of critical data improvements that were planned for this year.
When Bad Government Policy Leads to Bad Results, the Government Manipulates the Data … Instead of Changing Policy
Manipulating Bad Financial Data
Bad government policy has created a years-long unemployment problem. But instead of fixing the problem, the government is trying to paper over it. We’ve known for a long time that the Bureau of Labor Statistics fudges the numbers to make unemployment look lower than it is really is. BLS itself has admitted that its “adjustments” skew unemployment data during recessions. Indeed, the former head of the BLS recently said BLS statistics are B.S. … and that unemployment is much higher than the government is letting on.
The Bureau of Economic Analysis is revising 84 years of economic history … which will make the economy magically look better.
Government agencies have helped banks manipulate commodities prices for decades.
The government twisted statistics and intentionally lied when it pretended that the banks it was bailing out were solvent
The government has long ignored energy and food prices when reporting on inflation.
Fraud is Wall Street’s business model, which is – unfortunately – being supported by the government.
The government helped cover up the crimes of the big banks, used claims of national security to keep everything in the dark, and changed basic rules and definitions to allow the game to continue. See this,this, this and this.
It is not only a matter of covering up fraud that has already happened. The government also created an environment which greatly encouraged fraud.Here are just a few of many potential examples:
- The SEC has shredded financial documents for decades, to help cover up financial shenanigans
- The Treasury department allowed banks to “cook their books”
- Business Week wrote on May 23, 2006:
“President George W. Bush has bestowed on his intelligence czar, John Negroponte, broad authority, in the name of national security, to excuse publicly traded companies from their usual accounting and securities-disclosure obligations.”
- Regulators knew of and allowed the use of debt-hiding accounting tricks by the big banks