Dissatisfied with job statistics, Trump dismisses the top statistician
In a move that has sparked controversy, President Donald Trump fired Erika McEntarfer, the director of the Bureau of Labor Statistics (BLS), in August 2020. The decision came after the BLS reported 73,000 job creations in July 2020, a figure significantly lower than the expected 115,000 and a sharp deviation from previous estimates.
The BLS report also revealed a downward revision of 258,000 jobs in May and June, leading to a total job loss of 185,000 over the three months. This unfavorable data, according to President Trump, contradicted his narrative of a booming economy and could lead to a head-on collision between reality and his economic narrative.
The American president accused McEntarfer of wanting to harm "the Republicans and ME," and suggested that the data was manipulated for political purposes. He claimed the report was inaccurate and accused McEntarfer, whom he perceived as a Biden political appointee, of lacking competence.
However, McEntarfer was known as a rigorous labor economist, confirmed with bipartisan support. Her dismissal was thus perceived as a response to unfavorable data rather than any verified issue with statistical methods.
The disappointing job creation figures could have a significant impact on Wall Street. Earlier reports suggested that the BLS job creation numbers could cause a drop on Wall Street, and indeed, Wall Street had its biggest drop since April due to the job creation numbers.
The BLS job creation numbers raise questions about the state of the U.S. economy. As the numbers suggest a slowdown in job growth, they contradict the rosy picture of economic recovery that the Trump administration has been painting. The uncertainty caused by these numbers could potentially impact consumer and business confidence, further slowing down the economic recovery.
References: 1. CNN 2. The New York Times 3. The Washington Post
- The controversy surrounding President Trump's decision to fire Erika McEntarfer, the director of the Bureau of Labor Statistics (BLS), has sparked debates in policy-and-legislation and general-news, as the dismissal is perceived as a response to unfavorable economic data.
- The unfavorable BLS job creation numbers, with a reported 73,000 job creations in July 2020 falling drastically short of the expected 115,000, have raised concerns in policy-and-legislation and politics, as they contradict the rosy picture of economic recovery painted by the Trump administration.
