UNEMPLOYMENT UP TO 7.2% IN MAY
The unemployment rate jumped two-tenths of a percentage point in May as the nation's economy generated only one new job for every two people who joined the labor force, the Government reported today. The rise in the overall jobless rate, to 7.2 percent, was considered a disappointment by most analysts and suggested that economic expansion continued at a lackluster pace despite a boom in housing and some service industries. ''We're seeing fairly reasonable growth in service output but a continued shrinkage in manufacturing and mining,'' said James E. Annable, chief economist at the First National Bank of Chicago. Civilian Rate at 7.3 Percent The national pattern was reflected in increasing unemployment in New York and New Jersey, although joblessness in New York City dropped by eight-tenths of a point, to 7.9 percent. [ Page 14. ] The nationwide civilian unemployment rate, excluding the armed forces, rose by the same two-tenths of a point as the overall rate, to 7.3 percent, last month.