Five scary charts and facts about who’s working and not working in this economy

posted at 7:21 pm on August 2, 2013 by Mary Katharine Ham

At this point, even Ezra Klein is conceding that the “recovery” growth rate of 1.7 percent is a “horrific” new normal, so I can be accused of no partisan quest driving me to point out these depressing facts about our current economy, but a desire that we harness the good sense to abandon what’s not working and get the heck out of this mess. (Correction: This was Neil Irwin’s piece, a coblogger on Ezra Klein’s Wonkblog, who then tweeted the piece. Apologies for the mistake!)

1. Workforce participation: 2008-2013

fredgraph

2. Workforce participation 2008-2013, compared with 2000-2008:

fredgraph2

Fed charts via @bdomenech, who writes a great morning newsletter, The Transom, which you can sign up for, here.

3. The surge of part-time employment:

PTSurge

4. “[O]f the 953K jobs “created” so far in 2013, only 23%, or 222K, were full-time.”

Full Part time_0

5. Repercussions.

Hadley Heath and Bloomberg economist Joe Brusuelas team up for this doozy:

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Defund ObamaCare…..HOWEVER that needs to happen.

Stop the push for Amnesty….that will FLOOD THE EMPLOYMENT MARKET making it harder for natural born Americans to get jobs.


Throw every politician out of office (regardless of what political party mask they wear) that doesn’t support those two things.

THEN…the economy will start to improve.

PappyD61 on August 2, 2013 at 7:31 PM

libf*cktardordie and bayamacrapweasalam will be along any moment to… well, lower the IQ of the room by merely showing their faces…

Midas on August 2, 2013 at 7:32 PM

But, hey, it’s great to have another Recovery Summer roll around.

Oh, and those charts can’t be accurate. I haven’t seen even one of them displayed in the MSM.

Drained Brain on August 2, 2013 at 7:33 PM

Just a little more government stimulus spending might be all it takes to kickstart this thing. Investments in education, infrastructure, and clean energy. Just a little more….say, five hundred billion.

a capella on August 2, 2013 at 7:34 PM

Well you know – this all Bush’s fault!! /s

redguy on August 2, 2013 at 7:36 PM

Defund ObamaCare…..HOWEVER that needs to happen.

Stop the push for Amnesty….that will FLOOD THE EMPLOYMENT MARKET making it harder for natural born Americans to get jobs.

Throw every politician out of office (regardless of what political party mask they wear) that doesn’t support those two things.

THEN…the economy will start to improve.

PappyD61 on August 2, 2013 at 7:31 PM

I agree, but the Socialists cannot have an improving economy.
Obama goes around saying the economy is improving when it
actually is getting worse, due to his own policies!
The Limbaugh Theorm at work!

Of course the liberals believe everything that Obama says.
As long as they get a welfare check and can eat, they don’t give a shit.

redguy on August 2, 2013 at 7:38 PM

If I had an ego,….

Instead, I’ll say there are those smarter and more talkative than me who just happen to be reading the same numbers I do.

Steve Eggleston on August 2, 2013 at 7:39 PM

People looking at the economy, or foreign policy, or the scandals, are just missing the big picture.

The important thing is, the president is black.

malclave on August 2, 2013 at 7:39 PM

Oh, and thanks for bringing Fiona out of retirement.

Steve Eggleston on August 2, 2013 at 7:47 PM

According to libfree…
This has been decades in the making…

Electrongod on August 2, 2013 at 7:49 PM

That term, “working”…we need to drop that term, it’s not inclusive enough.

“Subsisting”, that’s more like it!

Meremortal on August 2, 2013 at 7:49 PM

The following are 35 incredibly shocking statistics that will scare just about any Baby Boomer…

1. Right now, there are somewhere around 40 million senior citizens in the United States. By 2050 that number is projected to skyrocket to 89 million.

2. According to one recent poll, 25 percent of all Americans in the 46 to 64-year-old age bracket have no retirement savings at all.

3. 26 percent of all Americans in the 46 to 64-year-old age bracket have no personal savings whatsoever.

4. One survey that covered all American workers found that 46 percent of them have less than $10,000 saved for retirement.

5. According to a survey conducted by the Employee Benefit Research Institute, “60 percent of American workers said the total value of their savings and investments is less than $25,000″.

6. A Pew Research survey found that half of all Baby Boomers say that their household financial situations have deteriorated over the past year.

7. 67 percent of all American workers believe that they “are a little or a lot behind schedule on saving for retirement”.

8. Today, one out of every six elderly Americans lives below the federal poverty line.

9. More elderly Americans than ever are finding that they must continue working once they reach their retirement years. Between 1985 and 2010, the percentage of Americans in the 65 to 69-year-old age bracket that were still working increased from 18 percent to 32 percent.

10. Back in 1991, half of all American workers planned to retire before they reached the age of 65. Today, that number has declined to 23 percent.

11. According to one recent survey, 70 percent of all American workers expect to continue working once they are “retired”.

12. According to a poll conducted by AARP, 40 percent of all Baby Boomers plan to work “until they drop”.

13. A poll conducted by CESI Debt Solutions found that 56 percent of American retirees still had outstanding debts when they retired.

14. Elderly Americans tend to carry much higher balances on their credit cards than younger Americans do. The following is from a recent CNBC article…

New research from the AARP also shows that those ages 50 and over are carrying higher balances on their credit cards — $8,278 in 2012 compared to $6,258 for the under-50 population.

15. A study by a law professor at the University of Michigan found that Americans that are 55 years of age or older now account for 20 percent of all bankruptcies in the United States. Back in 2001, they only accounted for 12 percent of all bankruptcies.

16. Between 1991 and 2007 the number of Americans between the ages of 65 and 74 that filed for bankruptcy rose by a staggering 178 percent.

17. What is causing most of these bankruptcies among the elderly? The number one cause is medical bills. According to a report published in The American Journal of Medicine, medical bills are a major factor in more than 60 percent of the personal bankruptcies in the United States. Of those bankruptcies that were caused by medical bills, approximately 75 percent of them involved individuals that actually did have health insurance.

18. In 1945, there were 42 workers for every retiree receiving Social Security benefits. Today, that number has fallen to 2.5 workers, and if you eliminate all government workers, that leaves only 1.6 private sector workers for every retiree receiving Social Security benefits.

19. Millions of elderly Americans these days are finding it very difficult to survive on just a Social Security check. The truth is that most Social Security checks simply are not that large. The following comes directly from the Social Security Administration website…

The average monthly Social Security benefit for a retired worker was about $1,230 at the beginning of 2012. This amount changes monthly based upon the total amount of all benefits paid and the total number of people receiving benefits.

Could you live on about 300 dollars a week?

20. Social Security benefits are not going to stretch as far in future years. The following is from an article on the AARP website…

Social Security benefits won’t go as far, either. In 2002, benefits replaced 39 percent of the average retirees salary, and that will decline to 28 percent in 2030, when the youngest boomers reach full retirement age, according to the Center for Retirement Research at Boston College.

21. In the United States today, more than 61 million Americans receive some form of Social Security benefits. By 2035, that number is projected to soar to a whopping 91 million.

22. Overall, the Social Security system is facing a 134 trillion dollar shortfall over the next 75 years.

23. As I wrote about in a previous article, the number of Americans on Medicare is expected to grow from 50.7 million in 2012 to 73.2 million in 2025.

24. Medicare is facing unfunded liabilities of more than 38 trillion dollars over the next 75 years. That comes to approximately $328,404 for each and every household in the United States.

25. Today, only 10 percent of private companies in the U.S. provide guaranteed lifelong pensions for their employees.

26. Verizon’s pension plan is underfunded by 3.4 billion dollars.

27. In California, the Orange County Employees Retirement System is estimated to have a 10 billion dollar unfunded pension liability.

28. The state of Illinois has accumulated unfunded pension liabilities of more than 77 billion dollars.

29. Pension consultant Girard Miller told California’s Little Hoover Commission that state and local government bodies in the state of California have 325 billion dollars in combined unfunded pension liabilities.

30. According to Northwestern University Professor John Rauh, the latest estimate of the total amount of unfunded pension and healthcare obligations for retirees that state and local governments across the United States have accumulated is 4.4 trillion dollars.

31. In 2010, 28 percent of all American workers with a 401(k) had taken money out of it at some point.

32. Back in 2004, American workers were taking about 30 billion dollars in early withdrawals out of their 401(k) accounts every single year. Right now, American workers are pulling about 70 billion dollars in early withdrawals out of their 401(k) accounts every single year.

33. Today, 49 percent of all American workers are not covered by an employment-based pension plan at all.

34. According to a recent survey conducted by Americans for Secure Retirement, 88 percent of all Americans are worried about “maintaining a comfortable standard of living in retirement”.

35. A study conducted by Boston College’s Center for Retirement Research found that American workers are $6.6 trillion short of what they need to retire comfortably.

http://www.zerohedge.com/news/2013-07-28/35-facts-scare-baby-boomer

In about ten years, this country, this world, will be unrecognizable.

Rebar on August 2, 2013 at 7:50 PM

The important thing is, the president is black.

malclave on August 2, 2013 at 7:39 PM

Hah! That’s an excellent way to mockingly and derisively short-circuit liberal “arguments”, on pretty much any subject. It’s really the only reason they voted for him.

Harbingeing on August 2, 2013 at 7:51 PM

At this point, even Ezra Klein is conceding that the “recovery” growth rate of 1.7 percent is a “horrific” new normal, so I can be accused of no partisan quest driving me to point out these depressing facts about our current economy,…

Our resident trolls have just declared Klein a right-wing hack.

Steve Eggleston on August 2, 2013 at 7:58 PM

Hasn’t that chick gotten a job yet? Is she standing in the same line?

envycat on August 2, 2013 at 7:58 PM

None of this is Obama’s fault. It is out of his control.

BrayamlicksObama’snads on August 2, 2013 at 7:58 PM

/

CW on August 2, 2013 at 8:02 PM

Our resident trolls have just declared Klein a right-wing hack.

Steve Eggleston on August 2, 2013 at 7:58 PM

Racist, too!

Resist We Much on August 2, 2013 at 8:03 PM

Dimfuks like Brayam totally ignore Obama’s healthcare law and his attacks on conventional energy sources . Both of these issues have severely harmed full-time employment. McJobs for sure. Weirdly, the MSM is quiet….gee I wonder why. Brayam always falls back on his appeal to authority with his talking points about Wall Street. The idiot never admits , as well, that the sequester was in fact Obama’s idea.

CW on August 2, 2013 at 8:06 PM

They all need to be voted out of office and we need to start over with new untainted Americans.
We also need to Impeach Obama for all kind of violations!

Delsa on August 2, 2013 at 8:12 PM

Racist, too!

Resist We Much on August 2, 2013 at 8:03 PM

You misspelled raaaaacist – there’s 5 ‘a’s there.

Steve Eggleston on August 2, 2013 at 8:18 PM

I’m spending the weekend in Gettysburg PA. There is something wrong with our government when at a decidedly pro-central government site you find yourself siding with the secessionists!

Happy Nomad on August 2, 2013 at 8:45 PM

Weekend at Bernie’s?

8thAirForce on August 2, 2013 at 8:58 PM

As long as they get a welfare check and can eat, they don’t give a shit.

redguy on August 2, 2013 at 7:38 PM

In so far as our current predicament is manufactured by those who redistribute our labors to those who do not toil for their own dinner, let us cut them off completely and immediately.

They do not appreciate our labors, in fact, they spit on us, calling us racists and nazis and all manner of lies and deceit when we correctly point out the seriousness of our situation.

There is a huge fight brewing between those who believe in Jeffersonian Democracy and those who do not; those who believe in freedom and those who wish to rule over us.

Let’s get going, shall we? Let’s get rid of those who reject the charter of the land they are blessed to live upon – either pledge allegiance to the Constitution of the United States as it is written or GTFO.

And that starts with that traitorous POS that is squatting in the White House, his sow of a wife and all of his minions.

Did you get all that NSA?

turfmann on August 2, 2013 at 9:09 PM

In about ten years, this country, this world, will be unrecognizable.

Rebar on August 2, 2013 at 7:50 PM


On the contrary my friend, it will be easily recognizable
… in ten years this country will look EXACTLY the way Detroit looks today.

Large parts of the rest of the world, including the European Union, already look like Detroit.

PolAgnostic on August 2, 2013 at 9:15 PM

They all need to be voted out of office and we need to start over with new untainted Americans.
We also need to Impeach Obama for all kind of violations!

Delsa on August 2, 2013 at 8:12 PM

People keep using that ‘vote’ word, as though they think that will resolve anything at this point. Working great recently, ain’t it?

Midas on August 2, 2013 at 9:22 PM

But, hey, it’s great to have another Recovery Summer roll around.

Oh, and those charts can’t be accurate. I haven’t seen even one of them displayed in the MSM.

Drained Brain on August 2, 2013 at 7:33 PM

.
While I appreciate the intended sarcasm, Chart 4 is from Zerohedge’s article:

Obamacare Full Frontal: Of 953,000 Jobs Created In 2013, 77%, Or 731,000 Are Part-Time

which was linked on RealClearPolitics.com this afternoon and the left of center editors of RCP know their posts are widely read by the ‘elites’.

http://www.realclearpolitics.com/

Third link down from the top

PolAgnostic on August 2, 2013 at 9:22 PM

…STOP IT!…JUST STOP IT!
…there…I feel better!

KOOLAID2 on August 2, 2013 at 9:31 PM

Did you get all that NSA?

turfmann on August 2, 2013 at 9:09 PM

The NSA isn’t listening, but Google probably got it.

Count to 10 on August 2, 2013 at 9:33 PM

The important thing is, the president is black.

malclave on August 2, 2013 at 7:39 PM

Actually, according to the msm and their standards, he’s a “white black.”

predator on August 2, 2013 at 9:38 PM

Yes, and Obamacare’s on the way to fix our broken economy! We are so screwed.

rickv404 on August 2, 2013 at 9:44 PM

At this point, even Ezra Klein is conceding that the “recovery” growth rate of 1.7 percent is a “horrific” new normal, so I can be accused of no partisan quest driving me to point out these depressing facts about our current economy,…

Our resident trolls have just declared Klein a right-wing hack.

Steve Eggleston on August 2, 2013 at 7:58 PM

The writer of the piece shows Neil Irwin, not Klein. I wouldn’t expect such honesty of Klein.

rickv404 on August 2, 2013 at 9:56 PM

Well you know – this all Bush’s fault!! /s

redguy on August 2, 2013 at 7:36 PM

No, it’s partly his fault, and his GOP.

rickv404 on August 2, 2013 at 9:58 PM

Hasn’t that chick gotten a job yet? Is she standing in the same line?

envycat on August 2, 2013 at 7:58 PM

Yes, and she’s got an astronomical cell phone bill now.

rickv404 on August 2, 2013 at 10:03 PM

Well you know – this all Bush’s fault!! /s

I have to say, chart #2 doesn’t make the argument that a GOP Presidency does any better. If I’m reading it correctly, workforce participation went from, approximately, 84.5% to about 82.8% under Bush while under Obama it went from 82.8 to 81.0.

I suppose one could make the argument that Obama has another three years to make it fall more; but that hardly makes the case that the Bush Presidency was any better in this area.

bobs1196 on August 2, 2013 at 10:05 PM

Whoever released those numbers obviously is a racist.

Philly on August 2, 2013 at 10:08 PM

Detroit is our canary in the coal mine…….its problems are entirely man-made, and can be summed up in seven words. Private enterprise built it, government destroyed it. That is the screaming headline that is unfortunately absent from the media coverage.

roflmmfao

donabernathy on August 2, 2013 at 10:44 PM

Public information officer….

Bwahahahahahahaha

Probably has an assistant, a secretary, two offices, a city car, et al….. fire this douche and save a ton of money.

YA REALLY CAN’T MAKE THIS CHIT UP

roflmmfao

donabernathy on August 2, 2013 at 10:56 PM

bad news for dating. MT @joebrusuelas: the # of men 20 and older not in workforce has increased from 25 to 30 million since Nov. 2007.

Since when does that matter? American women have been dating losers for decades…the scummier, the better.

And, really now, “dating”? That’s just a euphemism for sex.

“dating” Yeah, right.

———–

Another thing that gets me is the arrogance of the unemployed. They tend to be just as cocky as when they had jobs and act as if they are indeed fulfilling the American dream.

Dr. ZhivBlago on August 2, 2013 at 11:22 PM

Hmmmm….

Let’s print more money!

Party on!

KirknBurker on August 2, 2013 at 11:27 PM

Come on guys, we need to turn this thing around so that MKH’s child will have a job out of college.

We can do it!

KirknBurker on August 2, 2013 at 11:27 PM

Sheesh, we can’t even get a “dead cat bounce” on a chart.

batter on August 2, 2013 at 11:54 PM

Hasn’t that chick gotten a job yet? Is she standing in the same line?

envycat on August 2, 2013 at 7:58 PM

Yes, and she’s got an astronomical cell phone bill now.

rickv404 on August 2, 2013 at 10:03 PM

Naw… Its an Obama phone..

Kuffar on August 3, 2013 at 12:02 AM

Sheesh, we can’t even get a “dead cat bounce” on a chart.

batter on August 2, 2013 at 11:54 PM

Every time I hear propaganda about economic improvement on the hell-o-vision or radio and want to believe it, I just remind myself to take a look at all the “for rent” and lease signs around my poor city. Doesn’t take long for that illusion to go poof.

At this rate the crackpot Quiverfull wannabes on the “I don’t want kids” thread will outbreed abortion-loving liberals before the USA has an economic turnaround. The very fabric of our economy is falling apart and there is no replacement.

MelonCollie on August 3, 2013 at 12:05 AM

In about ten years, this country, this world, will be unrecognizable.

Rebar on August 2, 2013 at 7:50 PM

But Lew said that it’s inconceivable that the United States won’t pay its bills.

Hmm, I wonder if they said the same thing about Detroit in 1960 when it was the most prosperous city in the U.S.

talkingpoints on August 3, 2013 at 12:09 AM

How many peeps on welfare or disability get pain meds and then sell some illegally.
Me thinks mucho do.

losarkos on August 3, 2013 at 12:41 AM

Alinsky + Cloward & Piven = Obama’s Economic Strategy….

Athos on August 3, 2013 at 12:53 AM

Worse. Than. Carter.

ITguy on August 3, 2013 at 2:31 AM

Note well that Republicans held majority control (2+ out of 3) of the budget-making and economic policy-making bodies in Washingon, D.C. (the House, Senate, and Presidency) for 12 straight years from January 3, 1995 – January 3, 2007.

When did Obama and his fellow Democrats take majority control of budgeting and economic policy?

January 3, 2007.

Note well the state of the economy on January 3, 2007.

Obama and his fellow Democrats inherited a GOOD economy on January 3, 2007.

Democrats flatlined a recovery in 2007, tanked the economy in 2008 and 2009, and there has been NO REAL RECOVERY in the last four years.

ITguy on August 3, 2013 at 3:05 AM

“That Chick” is Fiona, so named by a regular here but I forget the handle. Poor thing hasn’t been able to get a smart phone and is stuck withher dumb Obama phone for years.

Dingbat63 on August 3, 2013 at 7:05 AM

Maybe working part time will be healthier for America? Oy! From Reagan to Obama: In the 80s people warned Americans were going to die from Type A coronary prone behavior from working too hard. Now, we worry about Americans being too fat and too sedentary. This is progress, Progressives?

rhombus on August 3, 2013 at 7:46 AM

MKH, I understand your points. However, I object to your colorful selection of ordinates for your graphs to exaqgerate your points. This is called colored statistics. It is used by dhimocrapts and other liars, but not republicans. I understand your are not lying, but your ordinate selection suggests you are. The use of a graphic range of 2 – 3 on a total range of 80 – 90 is what I’m talking about. Makes everything look far worse for your political point.

Old Country Boy on August 3, 2013 at 8:57 AM

83% of what? What about the 60-something percent participation rate we keep hearing about?

83% of adults? Over 18? Over 21%? Not in high school or college or vocational training?

What are these numbers?

Don’t do this.

MKH, top using charts that don’t have definitions. Define, define, define.

We can’t use this when we talk to low info voters if we don’t know what it means.

Here would be a simple stat: there ___________ people working now. There were ______ people working in 2007.

InterestedObserver on August 3, 2013 at 11:08 AM

38 percent of young adults moving back into their parents basement.

ama on August 3, 2013 at 12:14 PM

During the 2004 Presidential race, John Kerry, the DNC, and their propaganda arm – the mainstream media, savaged George W. Bush over his ‘dismal’ economy marked by ‘high deficits’ and a ‘jobless recovery’.

Between January 2009 and the present day, we’ve had the only years in national history where the annual budget deficit exceeded $1 trillion and the most dismal jobless recovery since the Great Depression…all to not only the silence of the majority of the mainstream media, but the propaganda and lies from the media attempting to cover-up this economic failure.

Today’s intellectually, ethically, and morally bankrupt mainstream media shares more similarities with Orwell’s Ministry of Truth than the people’s check and balance against an oppressive and tyrannical government.

Athos on August 3, 2013 at 12:31 PM

All this talk about “retirement”. Anyone under the age of 50, unless extraordinarily wealthy, needs to get this idea out of their heads. Retirement is a recent idea that doesn’t have any longevity.

Social Security won’t be there, neither will Medicare. While I plan on working as long as possible, your declining years should be planned with reduced expenses in mind. That means buying a modestly priced home that can be paid off well before old age. It means zero personal debt. It also means taking care of your body and mind to minimize medical events associated with aging. It may also mean making those hard medical decisions, that, while potentially life-ending, also won’t mean the financial ruin of your estate.

TheMightyMonarch on August 3, 2013 at 12:59 PM

PappyD61 on August 2, 2013 at 7:31 PM
From your fingers to Congress’ ears!

katablog.com on August 3, 2013 at 3:02 PM

That 1.7% GDP is fake, by the way. I will keep telling you all until you start qualifying it. Please go look at the real numbers at Consumer Metrics Institute.

We went back into recession last year. Of course we all see the shops and factories shutting down.

Great “recovery,” Zero.

222k Full time perm jobs. Wow that’s nothing to brag about. LibFree and Bayam will be here any second to tell us how great we’re doing.. WoooHoooo! Those two need a gray cell transplant.

dogsoldier on August 3, 2013 at 8:11 PM

All this talk about “retirement”. Anyone under the age of 50, unless extraordinarily wealthy, needs to get this idea out of their heads. Retirement is a recent idea that doesn’t have any longevity.

TheMightyMonarch on August 3, 2013 at 12:59 PM

Anyone in my generation needs to plain accept there will be no retirement, no rest, no improvement in the situation for probably the rest of their lives barring a successful national split or the military summarily ousting Clowngress and the Resident.

However you plan to deal with it, gear up for ~60 years of boring and poor-paying work and changing schedules if not residences constantly. And either be ready to spend your last years in a nursing home (or assisted living at least) or plan to…”bail out”…when you finally break down and Obamacare has left the healthcare system in shambles.

MelonCollie on August 4, 2013 at 1:11 PM