Yes, that is true but 1.3 million are Americans who do not believe the economy is good enough to support their effort to find a job.
Where are you getting that number from? There are only about 594,000 discouraged. But my point is that discouraged make no more difference than any other Not in the Labor Force when it comes to Unemployment. Your source was wrong: people looking for work are not and cannot be classified as discouraged.
He did so by creating part time workers and discouraged. Does it really matter how many for it if is one it still affects the unemployment rate
How did he "create" either?
Is that right? how do you know?
Besides common sense? And working in that field for over a decade? What incentive or reason can you think of for anyone looking for work to falsely claim to be discouraged?
That is the problem with the official unemployment rate, it is affected by discouraged workers as well as part time employment for people who are part time because of economic reasons
Person A is employed full time. Business is slow and his hours are cut to 32 hours/week. He is now part time for economic reasons. How has that affected the UE rate?
Person B and Person C are both unemployed looking for full time work. Person B gets a full time job, Person C takes a part time job because he can't find anything else. How does C affect the UE rate differently from B? For both, unemployment is down by one and employment up by one.
D, E, F, and G were all unemployed. D wins the lottery, doesn't want a job anymore and stops looking. E wants a job, but her mother is sick, so she stops looking to take care of her mom. F was the same as E, but his mom is better now, but F hasn't started looking for work yet, though he's available. G stops looking because all he can find are minimum wage jobs and he doesn't want one of those. For D, E, F, and G, they all left the labor force. D is Not in the Labor Force, does not want a job. E is Not in the Labor Force, wants a job. F is marginally attached. G is discouraged.
So, you claim that A, C, and G affect the UE rate, but not any of the others? Or at least that C affects it differently than B. Why is that?
Discouraged workers and part time employees affect the Unemployment rate in different ways, discouraged workers understate the unemployment rate and part time workers overstate the low rate especially those part time for economic reasons
They only understate it or overstate it if you redefine them to be the same as unemployed. Which no one ever has.
If they are able to work, originally unemployed, but now classified as discouraged they should be counted.
What about the marginally attached who are not discouraged? And you still haven't explained why discouraged should be considered the same as people actually trying to work.
I am still waiting for your explanation as to why the discouraged workers rose from Bush levels to 1.3 million?
Because there was a recession and more people stopped looking for work and many, but not all, claimed it was due to discouragement.
No, I would hire people who took A job which wasn't necessarily THE job because that shows initiative and drive rather than living long term off unemployment
I didn't ask who you would hire. I asked what the maximum possible number of people you could have hired if you had enough slots. How many people were available for you to hire, whether or not they were qualified? Would you consider a 6 month old resume with no updates available? Would you consider someone who read your classified ad but who didn't respond to it someone available?
Look at it this way. 50 people are not working. A company announces they're hiring. 45 people show up, 30 get hired. If the company had 50 slots, how many people would have been hired? If the company needed at least 50 people to open a new branch, could they be sure they'd have enough bodies?