Comment Re:It's difficult to believe (Score 1) 144
The NBC reporting fails to ask an important question, is there a statistical analysis or underlying data-collection reason for the revision? At minimum the super-fine-tuned BS-detector you claim to be using should look for a counter-factual just to be sure this isnt a "vibe" reaction.
For a little more information WSJ asked the BLS folks about reasons and here's what they reported:
For its monthly jobs figures the BLS relies on a survey of about 121,000 employers. The BLS on Tuesday said that its research suggested the overestimation of employment was likely the result of two factors. First, businesses within its survey reported higher employment in its survey than they did in their quarterly tax reports. Second, businesses that responded to its survey had stronger employment than those that had been selected for the survey but didn’t respond.
If this statement is to believed (and you may be correct about the pressure applied by Trump's staff, but I doubt the full magnitude of the attribution of malice you intuit given the fact as others have pointed out the new BLS head hasn't even been confirmed yet) then two noticeable things are involved:
- a. The BLS is using a very noise impaired data-collection method, they randomly sample employers. As an employer I have myself received BLS survey forms, but not regularly, in 13 years of paying salaried employees I have received the survey twice. It's a pretty nifty web-based data-entry system now (the prior survey I got in 2010 used paper reporting!!) but it still isnt frequent enough to detect a trend from any specific company. I imagine the BLS thinks they are doing a super-nifty good job with fancy statistical sampling algorithms to "fix" the sampling, but honestly I wonder why we are sampling at all, because:
- b.This very correction is based on actual payroll TAX reports - that's the supposedly iron-clad proof. Tax reports are made under penalty of perjury, and involve lots and lots of ways to get fined or jailed if you play hanky panky with them, and late reporting is usually a sign of either severe distress and/or theft, so there is at least a minimum threshold expected in the completeness and honesty of the data, whereas the sampled data is said (again by BLS) to have a self-selection bias by the very entities making the reports ('those that had been selected for the survey but didn’t respond'). The tax data has to be computerized for the state and local bureaurocracies to manage, so it seems hardly much effort not use sampling anymore. That would delay the jobs reports, but reduce the sampling noise and possibly restore some trust in the numbers?