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Aderholt says 3.9 percent unemployment is proof tax cuts are working

In July, unemployment dropped to just 3.9 percent. Congressman Robert Aderholt, R-Haleyville, cited this fact as “proof” that the controversial Tax Cuts and Jobs Act is working. Republican in Congress passed the bill late last year without any support from congressional Democrats.

“Proof that the tax cuts Congress passed are working: 1.5 million people have new jobs, the economy is on pace to hit 3 percent annual growth, and workers’ wages are growing faster than they have in a decade. What a difference a new president can make! #MAGA,” Rep. Aderholt said on social media..

The United States economy is continuing its longest streak of consecutive positive monthly job growth at 94 months. 3.9 million jobs have been created since President Donald J. Trump was elected in November 2016.

The Bureau of Labor Statistics (BLS) monthly Employment Situation Report shows that nonfarm payroll employment rose by 157,000 jobs in July, lower than in previous months. The average job growth per month is 215,000 for 2018. This exceeds that average monthly gains in 2016 (195,000) and 2017 (182,000).

In July the manufacturing and professional & business services industries experienced significant gains. Since President Trump was elected, goods-producing industries (construction, manufacturing, mining, and logging) have added more than 900,000 jobs.

The unemployment rate edged down 0.1 percentage point over the month to just 3.9 percent, and has decreased 0.9 percent since January 2017. This is only the eighth time since 1970 that the unemployment rate has fallen below 4 percent, with three of these occasions occurring in 2018.

The unemployment rate for Hispanics has dropped to 4.5 percent in July, an historic low. The July unemployment rate for individuals with less than a high school diploma dropped 0.4 to 4.7 percent from 5.1 percent in July, the lowest level since the government began recording this statistic in 1992. The July unemployment rate for adult men was 3.4 percent, the lowest since December 2000.

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The employment-population ratio, which is an important indicator of the share of people who are working, rose by 0.1 p.p. in July to 60.5 percent. That is its highest mark since January 2009 (the waning days of the Bush Administration.

The Trump Administration said that this is a sign that more workers are finding jobs and coming off the sidelines, which is good news for America’s economy.

Congressman Robert Aderholt (R) represents Alabama’s Fourth Congressional District.

Written By

Brandon Moseley is a former reporter at the Alabama Political Reporter.



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