The dismissal of Donald Trump two weeks ago, the commissioner of labor statistics, Erika Mtntarfer, and the nomination of EJ Antoni, since his replacement is generating a lot of talk “inside baseball” between the political class.
But, the president, as rude and with his hands in the ham, as his methods are, he ran into a truth that was hidden in view: that the government’s economic data depended on the markets and business leaders for the allocation of hundreds of billions in capital in capital is not very precise?
“He would probably also have fired the head of the Office of Labor Statistics,” wrote Ray Dalio, founder and now former CEO of the Giant of the Bridgewater coverage fund. “His process to make estimates is obviously obsolete and prone to mistakes, and there is no good plan in process to fix it,” he continued.
Dalio said that the massive reviews on May and June the employment data included with the July report were “symptomatic” of rot within the BLS. Private estimates, said Dalio, were much better. “I know a lot about how you use data to follow the economy and bet where you are going,” he said.
Trump’s nominated replacement on the BLS, eg Antoni, described the data of the “BS” agency and early this week suggested suspending monthly employment reports in favor of quarterly releases until improvements can be made.
The BLS produces not only employment data, but also the consumer price index, which for many years has faced criticism from all sectors for not accurately describing the inflation pressure that Americans feel.
