In September 2012, the USA gained 114,000 new jobs and unemployment dropped to 7.8%. This is not due to "people who have given up," but to actual new jobs. The economy has added 5.2 million private-sector jobs in 31 straight months.
"We are moving forward," Obama said during a campaign rally in a Washington suburb. "After
losing about 800,000 jobs a month when I took office, our businesses
have now added 5.2 million new jobs over the past 2-1/2 years."
"This country has come too far to turn back now."
From the Washington Post:
"Unlike in August, the number improved for the right reason: not because
people gave up looking for jobs, but because far more people reported
having one." Read more here.