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Jobs growth can be measured by comparing many of the statistics compiled by the Bureau of Labor Statistics, but the most common one is Total Nonfarm Payrolls, which tracks the total number of people in the country being paid for work that is not farming.
The U.S. Bureau of Labor Statistics publishes its jobs growth number each month as part of its Employment Situation Summary. Jobs growth reflects the total number of new U.S. jobs created during a given month. It includes payroll jobs created by employers, but not new self-employment jobs.
Tax cuts create jobs by putting more money directly into the pockets of consumers and businesses. Discretionary spending creates jobs by directly hiring workers, sending contracts to businesses to hire workers, or increasing subsidies to state governments so that they don't have to lay off workers.
The one most often used in the media is called U3, and is calculated by taking the number of people without jobs who have actively looked for work in the last four weeks as a percentage of the working-age population. That rate is currently 8.1%.
The employment report is released at a.m. ET Friday. Economists expect the U.S. economy created 145,000 jobs in September, up from 130,000 in August, with unemployment holding at 3.7%, according to Dow Jones.
The unemployment rate is the percentage of unemployment calculated by dividing the number of unemployed individuals by the number of individuals currently employed in the labor force.
Jobs numbers are calculated from a nationwide survey of about 150,000 businesses and government agencies. The other high-profile number that's announced at the same time, the unemployment rate referred to as U-3 comes from a different survey of about 60,000 households and isn't subject to monthly revisions.
A job creation index is a measure of net hiring of full- and part-time adult workers. In the US, the index score is derived by subtracting the percentage of American workers who say their employers are 'firing' from the percentage of workers who say their employers are 'hiring'.
At a.m. EST on the first Friday of every month (with a rare exceptions), the U.S. Department of Labor's Bureau of Labor Statistics (BLS) releases the Employment Situation Summary, otherwise known as the Employment or Jobs Report.
* The Employment Situation report is typically released on the third Friday after the conclusion of the reference week, i.e., the week which includes the 12th of the month.
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