Economist: Don't Obsess About Unemployment Numbers
SPRINGFIELD, Ill. (CBS) -- We've all heard the terms "unemployment rate" or "first-time jobless benefits" or "seasonally adjusted" ad nauseum over the past few years, as the United States slowly climbs out of a bad recession.
But at least one economist says to take those figures with a grain of salt, or better yet, don't pay attention to them at all.
David Merriman, associate director for the Illinois Institute for Government and Public Affairs, recognizes ebbs and flows of the stock market can sometimes be directly tied to such economic indicators, and that's not a good pattern.
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"When the unemployment numbers fluctuate, I don't either buy stock or sell stock," Merriman said. "I'm in it for the long term. I think that's what most other people should do, too."
Merriman recognizes that many economists use this data to try determining when the country could fully emerge from the recession, but it doesn't work that way.
"We should be very skeptical from figures from a single week or a single month," he said. "These numbers often get revised, often they're based on statistical samples."
Merriman says people should just go about their business without paying attention to the figures.
He says people should educate themselves on what the numbers mean, and media outlets and politicians should stop hyping economic for ratings or political gain.
