×
Join the LISEP mailing list
Statement on the Impact of the Government Shutdown on Economic Data and Reporting

WASHINGTON, D.C. — At the Ludwig Institute for Shared Economic Prosperity (LISEP), our mission is to provide the clearest, most honest picture of the economic reality facing everyday Americans by developing alternative indicators of economic well-being. These indicators rely, in part, on data collected by federal statistical agencies — the backbone of credible economic analysis.

The ongoing government shutdown has halted the release and reporting of this data, disrupting the essential flow of information that guides policymakers, businesses, and households alike. As a result, LISEP must postpone two October reports that depend on the release of the Current Population Survey (CPS) public-use microdata files: the September True Rate of Unemployment (TRU) and the quarterly True Weekly Earnings (TWE).

Beyond these reports, the shutdown is also delaying several key data releases that feed into LISEP’s other indicators, including the True Living Cost (TLC) and the Minimal Quality of Life (MQL) indexes

TRU & TWE

The CPS public-use microdata file for September — originally scheduled for release the week following the unemployment report — has been delayed. It remains unclear whether the Census Bureau, which conducts monthly household interviews during the week including the 19th, will collect CPS data for October if the shutdown continues.

TLC & MQL

The 2024 American Community Survey (ACS) 1-year public-use microdata sample, originally scheduled for October 16, is delayed. This dataset informs population weights for LISEP’s cost-of-living metrics. The Census Bureau’s contingency plan  specifies that ACS data collection would be discontinued during a shutdown, which may affect future releases.

The 2024 Consumer Expenditure (CE) Survey public-use microdata file, originally scheduled for release on September 23 and later postponed to October 30, is also at risk of further delay. LISEP uses CE data to calculate costs of miscellaneous and technological goods in the TLC, as well as categories such as food away from home, travel, and toys for the MQL. With the Bureau of Labor Statistics ceasing operations during the shutdown, this delay is likely to extend further.

Accurate, timely data collection and releases by these statistical agencies are essential functions of effective government. When this work stops, the nation is left to navigate in a dangerous data vacuum.

LISEP’s TRU, TWE, TLC, and MQL reports will remain delayed until the government shutdown ends and normal operations resume.

As LISEP Founder and Chairman Gene Ludwig emphasized, “You can’t steer the economy with a blindfold on. When the flow of objective economic data stops, policymakers lose sight of what’s really happening to American workers and families, and that’s dangerous.”

This situation underscores a central argument put forth by Ludwig in his new book, The Mismeasurement of America: the health of the U.S. economy cannot be properly understood, nor can effective policy be shaped, when indicators are flawed, incomplete, or—as in this case—entirely absent.

LISEP urges Congress to swiftly restore funding to these essential agencies and ensure that the collection of objective economic data remains a core, uninterrupted function of government.

Statement on the Impact of the Government Shutdown on Economic Data and Reporting
Historically, systemic barriers have disproportionately hampered Black farmers’ ability to retain land ownership.
Despite this tragic history, there is still time and economic incentive to set some of the inequities right.
In 2021, working mothers with children under 18 earned just 61.7 cents for every dollar a father made. Much wider than the overall gender wage gap, this difference highlights both the motherhood penalty and the fatherhood premium.
Female-dominated, low-paying, part-time occupations are overrepresented among informal workers who also have a formal job.
We need to create an economic environment where companies can hire these workers as employees and pay them a living wage. There are steps policymakers can take to change the gig economy dynamic.
Dependency on tips over base pay is growing because of actions taken by gig companies to institute tipping.
Even for those lucky enough to be making what amounts in many states to the poverty wage of $15 per hour, many will get nothing but a week’s notice before being out on the street.
One study shows that consistent involvement in extracurricular activities increased a child’s likelihood of attending college by a whopping 400% compared to not being involved at all.
Studies have found that both men and women are paid less if they work in “nurturant” occupations.
Since 2015, the correlation between LISEP’s functional employment to population ratio and the inflation rate was more than four times as strong as the BLS’s employment to population ratio, which is depicted in the graph below.
The employment to population ratio settles the discrepancy between what we see around us and what the data says.
The NBER paper defines employment using the traditional BLS U-3 rate. However, the often-used U-3 number fails to capture the quality of jobs.
Among states with stricter COVID-19 policies, reducing unemployment benefits had little to no effect. The average effect of increased employment seems to have occurred only in those states with looser COVID protocols.

WASHINGTON, D.C. — At the Ludwig Institute for Shared Economic Prosperity (LISEP), our mission is to provide the clearest, most honest picture of the economic reality facing everyday Americans by developing alternative indicators of economic well-being. These indicators rely, in part, on data collected by federal statistical agencies — the backbone of credible economic analysis.

The ongoing government shutdown has halted the release and reporting of this data, disrupting the essential flow of information that guides policymakers, businesses, and households alike. As a result, LISEP must postpone two October reports that depend on the release of the Current Population Survey (CPS) public-use microdata files: the September True Rate of Unemployment (TRU) and the quarterly True Weekly Earnings (TWE).

Beyond these reports, the shutdown is also delaying several key data releases that feed into LISEP’s other indicators, including the True Living Cost (TLC) and the Minimal Quality of Life (MQL) indexes

TRU & TWE

The CPS public-use microdata file for September — originally scheduled for release the week following the unemployment report — has been delayed. It remains unclear whether the Census Bureau, which conducts monthly household interviews during the week including the 19th, will collect CPS data for October if the shutdown continues.

TLC & MQL

The 2024 American Community Survey (ACS) 1-year public-use microdata sample, originally scheduled for October 16, is delayed. This dataset informs population weights for LISEP’s cost-of-living metrics. The Census Bureau’s contingency plan  specifies that ACS data collection would be discontinued during a shutdown, which may affect future releases.

The 2024 Consumer Expenditure (CE) Survey public-use microdata file, originally scheduled for release on September 23 and later postponed to October 30, is also at risk of further delay. LISEP uses CE data to calculate costs of miscellaneous and technological goods in the TLC, as well as categories such as food away from home, travel, and toys for the MQL. With the Bureau of Labor Statistics ceasing operations during the shutdown, this delay is likely to extend further.

Accurate, timely data collection and releases by these statistical agencies are essential functions of effective government. When this work stops, the nation is left to navigate in a dangerous data vacuum.

LISEP’s TRU, TWE, TLC, and MQL reports will remain delayed until the government shutdown ends and normal operations resume.

As LISEP Founder and Chairman Gene Ludwig emphasized, “You can’t steer the economy with a blindfold on. When the flow of objective economic data stops, policymakers lose sight of what’s really happening to American workers and families, and that’s dangerous.”

This situation underscores a central argument put forth by Ludwig in his new book, The Mismeasurement of America: the health of the U.S. economy cannot be properly understood, nor can effective policy be shaped, when indicators are flawed, incomplete, or—as in this case—entirely absent.

LISEP urges Congress to swiftly restore funding to these essential agencies and ensure that the collection of objective economic data remains a core, uninterrupted function of government.

Notes
‍Jim Gardner
No items found.
Item link
Press Release