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Marketplace All-in-One

Nobody wins when statistics get politicized

Marketplace All-in-One

Marketplace

News, Business

4.81.3K Ratings

🗓️ 4 August 2025

⏱️ 7 minutes

🧾️ Download transcript

Summary

President Trump fired the top Bureau of Labor Statistics official on Friday, after the agency issued a weak jobs report. The report also revised earlier estimates of job creation in May and June down by 258,000. The president claimed the numbers were being manipulated. Julia Coronado, founder and president of Macropolicy Perspectives and a professor at UT Austin, joins us to discuss. Also on the show: how Trump's tariffs could sink Lesotho's textile industry.

Transcript

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0:00.0

What happens when statistics get politicized?

0:05.9

From Marketplace, I'm Sabrina Beneshore in for David Brancaccio.

0:09.1

On Friday, President Trump fired the top Bureau of Labor Statistics official after the Bureau

0:13.9

issued a weak jobs report.

0:16.0

The report had also revised earlier estimates of job creation in May and June down by 258,000.

0:22.5

The president claimed the numbers were being manipulated.

0:25.1

Julia Cornado is founder and president of macro policy perspectives and a professor at UT Austin and is here to talk about it.

0:30.9

Hi, Julia.

0:31.8

Good morning.

0:32.4

Is there any evidence that, as President Trump claims, the job market numbers were being manipulated for political purposes?

0:40.2

Absolutely not. The Bureau of Labor Statistics is staffed by excellent dedicated public servants,

0:48.6

trying to measure the U.S. economy in real time. Re revisions are not unusual. There is no evidence of that.

0:57.2

Over the weekend, National Economic Council Director Kevin Hassett changed the message of it and told NBC News that,

1:03.5

well, it was actually the magnitude of the revisions that justified the firing. Do such major

1:09.3

revisions suggest some kind of lack of competence or wrongdoing?

1:13.6

No. In fact, there is an economic literature that documents how the revisions to economic data do

1:23.0

become larger at turning points in the economy. That is, when the economy is shifting gears, let's say

1:30.0

downward, then early estimates don't tend to capture that as well, and you tend to get larger

1:36.6

revisions. Does the fact that the president fired the commissioner of the Bureau of Labor

1:41.1

Statistics because he didn't like the numbers, erode the trust in

1:45.5

or integrity of those numbers, especially if he's going to replace that person with, you know,

1:49.8

someone who prefers in the next few days. It definitely erodes trust. We can't assume that the

...

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