The media generally reports the U-3 unemployment rate, but it's the U-6 rate that is capturing a smaller and smaller share of the total number of missing workers as the weak recovery drags on. Since mid-2010, another measure called the “Alt U-6” shows much less improvement than the official U-6. In other words, much of the improvement in the official U-6 in this recovery, and essentially all of the improvement in the official U-6 so far this year, is due to people dropping out of, or not entering, the labor force because job opportunities are so weak. (estimated 5 million not counted). The official U-6 rate is 13.6% but the Alt U-6 rate is 15.2% -->
Read more at the Economic Policy
Which bring us to this article by Paul Craig Roberts...
As Ye Sow, So Shall Ye Reap (Excerpts)
Washington served as cheerleader, as did most economists and libertarians, while US corporations, greedy for short-term profits and executive bonuses, offshored US industry and manufacturing, calling it free trade. The only market that America dominates is the market for financial fraud.
When industrial, manufacturing, and tradeable professional service jobs are offshored, they take US GDP and tax base with them. The foreign country gets the benefit of the relocated economic activity. Due to the revenues lost from jobs offshoring, there is a large gap between federal revenues and federal expenditures.
Policymakers, economists, and corporation executives are in denial about the adverse effects of offshoring, which they still, despite all the evidence, maintain is good for the economy. So nothing will be done about offshoring. Republicans will blame the budget deficit on welfare and entitlements, and if those are cut consumer spending will decline further, widening the budget deficit. Inflation will rise as incomes fall, and social cohesion will break down.
Now you know why Homeland Security purchased 1.6 billion rounds of ammunition, enough ammunition to fight the Iraq war for 12 years, has its own para-military force and 2,700 tanks. If you think the “terrorist threat” in America warrants a domestic armed force of this size, you are out of your mind. This force has been assembled to deal with starving and homeless people in the streets of America.