Following the September release of PublicSq. and RedBalloon's Freedom Economy Index, the Bureau of Labor Statistics released the latest Jobs report raising some eyebrows with the latest government data.
The Jobs report blasted through expectations with 336,000 new jobs created in September, twice the 170,000 anticipated by economists.
Government job growth was one of the biggest drivers in this report, showing a government induced hiring spree of 73,000 new employees, more than double the monthly average of 47,000.
The latest FEI numbers found that runaway government spending was the top concern for the small business community and perceived as the number-one driver of inflation.
“In the free market economy, government should never be the leading source of job growth in any given month. Yet, in Joe Biden’s America, that’s where we are,” said RedBalloon Spokesman Asher Dixon.“If the runaway government spending doesn’t stop, neither will inflation. That’s how it works.”
The BLS report also contained substantial revisions from the last two reports, increasing July’s job number by 50% and August’s by 21%.
Across the board, key indicators remained unchanged, including unemployment, labor force participation, employment-to-population ratio, among others. That has led to some head-scratching as to how the economy could add so many jobs but not move the needle in these key areas.
“There are elements of this report that just don’t add up, but for the Biden Administration, its sure to be touted as a win,” continued Asher Dixon. “What remains to be seen is how the fed reacts. Small businesses are reeling from inflation that, according to their experience, has not subsided. This report gives the fed ample motivation to raise rates even more. That would prove catastrophic for America’s small businesses.”
According to the recent survey, 75% of these business owners say keeping rates higher-for-longer would hurt their business. And, in anticipation of a coming recession, more of these businesses have put their hiring plans in neutral.
The Freedom Economy Index survey is a joint project of PublicSq. and RedBalloon, and surveys. Monthly a universe of over 60,000 small business owners.
Read the full results of the survey here.