Unemployment Rate Rises to 4.8%

The Employment Situation Summary for July 2006 shows employment rising by 113,000 per the Payroll Survey. The Kudlow crowd often spins that this measure understates true employment growth so they might look further down to see what happened with the Household Survey – which alas recorded a decline. The employment to population ratio fell from 63.1% to 63.0% and with an unchanged labor force participation rate – we see an increase in the unemployment rate. Alas.