Sunday, March 17, 2013

RS 8: Keeping The Biggest Secret In The U.S. Economy


RS 8: Keeping The Biggest Secret In The U.S. Economy

            Unemployment is a big problem for a country and occurs when people are out of work and are looking for employment.  Typically recessions create higher unemployment rates.  During the month of February the country had 7,130,000 people unemployed, which is 445,000 less than January. The Bureau of Labor Statistics, or BLS, is the company that releases that number under complete lockdown.  The unemployment number is more than just a number.  It is very significant to the countries economy and is kept secret until the first week in Friday of the next month at 8:30 am.

            The jobs number has a huge impact on the countries economy and is kept secret until a specific time.  This number is so important because they tell people how the economy is doing in regards to jobs.  The reason this number needs to be kept so secret is because if it is leaked, people can make advances in the stock market and gain millions of dollars.  A lot of money resides in the job numbers, which is why it is so important that these numbers are kept secret.
            In November of 1998, a day before the jobs number was supposed to come out, Ray Stone was looking around on the BLS website when he came across the jobs number.  He called the BLS and to their surprise the number was in fact leaked.  Stone told them that he would give them five minutes but that he was going to release the information on his blog.  BLS ended up releasing the number an entire day earlier than planned.  In order to prevent issues like that from reoccurring, BLS takes their jobs very secretly and keeps the office under complete lockdown when the numbers are waiting to be released on Friday.
            BLS has a strict schedule when it comes to allowing people in their building.  Between meetings and configuring the numbers, there is really only one week where people are allowed to visit the offices.  During that week there is still even strict protocol that people must follow.  Meaghan Barker works for BLS and has her office locked.  She empties her own trash and fixes her own electronics because no outsiders are allowed in her office.  Even fellow employees are not allowed in her office due to the highly confidential information on her desk.  Barker knows the number on Tuesday, which is three days before the number is officially released.  For three whole days she needs to keep it secret and not let anyone know she has a clue as to how the economy is doing. 
            Even when the numbers are released on Friday, there is still a strict routine.  Reporters and journalists are allowed into the offices where they lock all personal items and recording devices in a locker.  Then at 8 am they are given the numbers where they have thirty minutes to ask questions.  Then at 8:30, when the numbers are formally released, they are allowed to release the information that they collected.
            The jobs number has a huge impact on the United States economy and it does not just affect the unemployment rate.  Someone who has access to these numbers can earn big in regards to the stock market because they have insider information on how the economy is doing.  Strict guidelines are followed in order to keep this number secret until it is supposed to be released.  Although the unemployment is just a whole bunch of numbers, those numbers have a lot of meaning behind them.

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