White House Shifts Focus on Trump's BLS Controversy Amidst Public Outcry
The White House has announced the nomination of Dr. E.J. Antoni as the next Commissioner of the Bureau of Labor Statistics (BLS). The nomination comes after the firing of the previous commissioner, Dr. Erika McEntarfer, following a weaker-than-expected July jobs report and significant downward revisions to employment figures.
Dr. Antoni, a conservative economist and current chief economist at the Heritage Foundation, holds a PhD in economics from Northern Illinois University. He has been vocal about his concerns regarding the BLS’s methodology and data accuracy, even before his nomination.
The nomination has sparked concerns and expectations. Critics worry that Dr. Antoni's skepticism of the BLS's current methods and data integrity may affect how labor data is gathered and presented, potentially influencing economic policy and market confidence. On the other hand, President Trump and his supporters expect Dr. Antoni to ensure that BLS data released are "HONEST and ACCURATE" and to improve the reliability and timeliness of labor and economic statistics.
The nomination process is expected to be intense, given the economic impact of BLS reports and political concerns over data revisions and job growth reporting. It is imperative that the nominee is perceived as nonpartisan and independent of the White House.
National Economic Council Director Kevin Hassett has expressed the need for a fresh set of eyes over the BLS, but has stressed the importance of maintaining the agency's reputation for reliable data. The administration is working to find someone reputable who won't disrupt markets.
Several economists surveyed have raised concerns about the long-term damage Trump's attacks could do to the long-standing perception of reliable US economic data. The rhetorical focus is on reforming the BLS, rather than accusations of manipulation.
The internal West Wing discussions revolve around finding a new BLS commissioner. The commissioner doesn't have direct control over the data collection process, but is responsible for ensuring the data's accuracy and timeliness before its public release.
The administration has proposed an 8% cut to the agency's budget and has proposed cutting 150 positions. This could be a direct threat to Trump's own aspirations of a new "Golden Age" for the US economy. There's been discussion about improving the data collection process, particularly due to a drop in business response rates and the need for technological upgrades.
However, economists polled by the Kent A Clark Center for Global Markets at the University of Chicago expressed no evidence to suggest the Bureau of Labor Statistics' jobs figures were politically engineered. The efficacy and believability of economic projections are considered very important, and it is hoped that the new BLS chief, who is expected to be a highly competent statistician or labor economist, will maintain this standard.
The confirmation process for Dr. Antoni's nomination is underway, with longtime BLS official William J. Wiatrowski remaining the acting commissioner until then. The transition occurs at a sensitive time, given the economic impact of BLS reports and political concerns over data revisions and job growth reporting.
[1] The New York Times - Trump Nominates Dr. E.J. Antoni to Lead Bureau of Labor Statistics
[2] The Washington Post - Trump Fires BLS Commissioner After Weak Jobs Report
[4] The Heritage Foundation - Dr. E.J. Antoni's Nomination for BLS Commissioner
[5] Bloomberg - Trump's BLS Nominee Called Previous Data 'Phoney Baloney'
[1] The nomination of Dr. E.J. Antoni to lead the Bureau of Labor Statistics (BLS) is causing a stir, particularly in the realm of policy-and-legislation and politics, as opponents question the impact of his skepticism on labor data accuracy.
[2] The nomination follows the dismissal of the previous commissioner,Dr. Erika McEntarfer, amid concerns about a weaker-than-expected July jobs report and significant downward revisions to employment figures, leading to a debate over the BLS's future direction and general-news implications.
