Name Mitchell Fallon_________________ ECO 301 Fall 2014

1/ Briefly compare the findings and conclusions about the unemployment rate in the article you found
with the data presented in the Employment situation report.
The article from Forbes listed the anticipated additional jobs as 225,000 while the employment report
listed it as 230,00. The article also goes into greater detail discussing the possibility of a raised interest
rate from the Federal Reserve, in addition to detailing that the labor force participation rating is falling
for the wrong reasons.

2. Read the Hilsenrath article before you answer these questions.

Question. A Why is the Federal Reserve Board concerned about the unemployment rate
The unemployment rate has rapidly become healthier and is starting to level off at 6.1%. Because of this,
the Federal Reserve Board may consider raising their interest rate from what is essentially zero
Question B.How did the unemployment rate change over that last month?
The unemployment rate has rapidly become healthier and is starting to level off at 6.1%. Because of this,
the Federal Reserve Board may consider raising their interest rate from what is essentially zero
Question C. Who is Janet Yellen?
Janet Yellen is the Chairwoman of the Fed
Question D. Did the report on Bloomberg Economic Calendar mention the Federal Reserve of Federal
Reserve Policy?
Policy is mentioned briefly in the first sentence of the last paragraph under Highlights stating The latest
numbers bolster the arguments for Fed doves to keep policy loose.
Question E. Did the additional article you found on the Unemployment Situation analyze what this
report meant for the direction of the economy??? Was the author thinking that these numbers were a
good sign or a bad sign for the economy?
The article I found from Forbes utilized an interview held with management professor Peter Capelli of
the UPenn Wharton School who stated that the numbers [are] worrying as they reflect a downward
trend throughout the summer. The author speculates that a dip in the S&P 500, DOW Jones and
NASDAQ following the release of the report is due to the possibility that the FED will be raising their
interest rates in the near future.

Question F. Did you read anything about the effect of the Market Basket work stoppage on the payroll
measure of unemployment??? Even if you didnt see it, what effect would that number of workers idled
have on a measure of private payrolls over the month.
I did not see anything written about the Market Basket strike, however, that is an interesting thought
that hadnt even crossed my mind. Without the large number of Market Basket employees working
private payrolls for the month of August would drop drastically, inherently raising them for September
as the employees move back to working.