"....The Midwestern economy can generally be divided into states with a significant energy presence that have benefitted from the innovation of horizontal drilling and those that have not and are more focused on manufacturing.
States that have benefitted from the technological advance have arguably seen their natural rates of unemployment fall. For example, the unemployment rates during March of South Dakota (3.5%), North Dakota (3.1%), and Minnesota (3.7%) are well below the national average of 5.5%.
The manufacturing focused states in the Midwest however tell a very different story of a mixed economic recovery. For instance, the unemployment rates of Illinois (6.0%), Indiana (5.8%) and Michigan (5.6%) remain above the national average of 5.5%. Arguably these states have a fair amount of slack in their respective labor markets, especially when considering the decline in their respective labor force participation rates since the Great Recession.
One outlier in the manufacturing branch of the Midwestern economy is Wisconsin that has not only an unemployment of 4.6% (well below the national unemployment rate of 5.5%), but also a labor force participation rate of 68.4% well above the national rate of 62.7%.
An important analytical caveat is when a states like Wisconsin approach or attain full-employment, job growth will likely slow to be more in line with population growth. It’s important to note that the U.S. economy needs to add 80,000 jobs per month according to a paper by Chicago Fed economists Dan Aaronson and Scott Brave simply to keep up with population growth and maintain the same employment rate as the previous month. Some reports have confused this principle in attempting to misuse data to direct political attacks toward Wisconsin Governor Scott Walker, using 12-month job growth as the only metric in measuring the state’s economy, ignoring the unemployment gap (relative to full-employment) and labor force participation, two of the most popular metrics preferred by economists when assessing the state of the labor market.
May 3, 2015 [WSJ] A Closer Look at Scott Walker’s Record on Jobs "Wisconsin ranks 40th in the nation for job growth, or so says a recent Bureau of Labor Statistics report. Many in the media and political circles pounced on the release as evidence that the policies of Republican Gov. Scott Walker, a potential presidential candidate, have left the Badger State trailing much of the nation.
But the report failed to give sufficient context to Wisconsin’s job growth. The BLS, along with other reports touting similar results, ranked states based on how much private employment increased over a year.
Why might Wisconsin’s employment increase seem modest? One reason could be that more Wisconsinites than people in many other states already had jobs, which they did. Another wrinkle comes from factors like the energy boom in the upper plains states. In states like Wisconsin not so blessed with shale, job growth can seem comparatively slow.
Let’s look at Wisconsin’s employment growth since Mr. Walker took office. Since February 2011, Wisconsin’s employable population has grown by about 100,000 people, but the number of people employed increased by about 135,000. That means employment outpaced population growth significantly..........
Walker is as boring as shoe polish drying.
Bye the way, use some of the black shoe polish on you bald spot Scott, I keep looking really looking at it while you speak.
Keep right on doin what yer doin, cause yer doin exactly what you should be a doin!!!