Saturday, May 31, 2025

Latest

Federal Tax Receipts Fall Three Times Greater Than Reported Unemployment Numbers, Suggestive of Employment Data Inaccuracy

Amid the unprecedented onset of the coronavirus pandemic, many Americans suddenly found themselves under mandatory physical distancing measures and economic lockdowns. As a result, unemployment numbers began soaring into the millions, and the US Bureau of Labour Statistics (BLS) was of course in charge of the keeping up-to-date track of the exponentially changing employment rate. However, a startling new discrepancy has emerged, which suggests the BLS statistical models may be significantly inaccurate.

According to the Monthly Treasury Statement for the month of May, the number of federal withheld income tax receipts fell by a record 33% when compared to the same time a year prior. Given that the tax receipts are strongly correlated with worker’s paychecks, the disparity between the reported household employment numbers is three times less of a decline than the reported tax receipts. Such a gap is suggestive of an inaccuracy of both the April and May unemployment numbers as reported by the BLS.

Given that government has not enacted any new legislature amid the coronavirus pandemic that would indicate any unanticipated changes in the withheld gross federal income tax receipts. As a result, a viable explanation would suggest a sudden decrease in salary and wage income would be to blame. With an unemployment rate of approximately 13% and tax receipts falling by 33%, there is a good chance that the BLS data is grossly misrepresented, and there are in fact a lot more Americans experiencing some sort of salary reduction or unemployment as a result of the pandemic.

Information for this briefing was found via CNBC. The author has no securities or affiliations related to this organization. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.

Leave a Reply

Video Articles

How To Profit From $3300 Gold? An Inside Look At A Massive 300,000 Oz Project | Martino De Ciccio

We’re At The Start of a Great Silver Boom | Ross McElroy & Andy Bowering – Apollo Silver Corp

Equinox Gold Q1 Earnings: When Everything Goes Wrong

Recommended

ESGold Begins Concentration Tests Ahead Of First Production

Sterling Metals Hits 0.21% Copper Over 482.8 Metres In First Drilling At Soo Copper project

Related News

US Job Openings Soar to Record 10 Million as Businesses Struggle to Fill Vacant Positions

In yet another testament that the US economy is indeed recovering a lot hotter than...

Sunday, August 15, 2021, 01:19:00 PM

Lyft Lays Off Employees, Reduces Salaries Amid Decreased Demand for Ride-sharing Services

Lyft Inc (NASDAQ: LYFT) has not been faring too well through the coronavirus pandemic. The...

Friday, May 1, 2020, 08:24:26 AM

US Auto Parts Factories Struggle to Fill Vacant Positions Despite 7.9% National Unemployment Rate

Although the auto manufacturing industry has nearly collapsed under the weight of the coronavirus pandemic,...

Monday, October 12, 2020, 01:45:00 PM

$16 Trillion Price Tag: US Economy Could Lose Nearly its Entire Annual Output Due to Pandemic

The US economy may be heading towards a significantly worse financial situation than previous estimates...

Monday, October 19, 2020, 03:52:18 PM

US Coronavirus Cases Continue to Soar Following July Fourth Holiday Weekend

Although the US has been adamantly reopening its economy and lifting restrictions across many states,...

Thursday, July 9, 2020, 05:33:00 PM