Unemployment and economic recovery
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The unemployment rate dropped in January -- what the new numbers say about economic recovery.
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The unemployment rate for January dropped unexpectedly to 9.7 percent from 10 percent, even with 20,000 jobs lost. The Labor Department says that's because a survey of households found the number of employed Americans rose by half a million, and job losses are calculated separately.
All told, this complicated statistic shows that the recession has eliminated 8.5 million jobs. It is projected that the unemployment rate will hover around eight percent until 2013.
And while the markets closed last week at the lowest levels so far this year, some analysts are seeing signs of recovery.
"New York Times" correspondent Floyd Norris says in general, the jobs picture looks good, and the number of jobs have actually gone up in the area of manufacturing for the first time since January of 2007. This is the case not only in the US, but also around the world.
"And there is a decent recovery going on, it appears, even though people are very glum about it," Norris said.
He adds that there is a decline in the number of people who say they're unemployed because they've lost their job. "And we're seeing an increase in the number of people who are unemployed because they decided to enter the labor force."
Elizabeth Williamson, White House Correspondent for "The Wall Street Journal," expects the Obama administration to capitalize on the manufacturing numbers as proof that the stimulus and other efforts are starting to move numbers in the right direction.
"Manufacturing is enormous for this administration and the fact that you would see some growth in manufacturing jobs is very important for their message," said Williamson.
But the jobs outlook for 2012, when President Obama runs for re-election, isn't too positive, Williamson adds.
"They had said when they signed in February just about a year ago the Recovery Act that they thought it would reduce the jobless rate to about eight percent,” said Williamson. “That hasn't happened. There's now diminishing expectations. They don't predict that the jobless rate will fall at any time before he runs for re-election."
Politics aside, Norris thinks the unemployment numbers offer a bit of good news to counter Europe's bad economic news, and should help balance things out for the markets.
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Will what new jobs are created be long term, permanent and full-time with reasonable health insurance coverage or will the new jobs be usually part-time and temporary with no health and other benefits?
I am not confident that this administration nor any other administration will be able to turn this economic and jobless mess around ever.
Let's hope Washington can figure out a way to improve the current jobless and broken economy ASAP so we can all get back to work and begin living the American Dream again.
You should get used to surviving at a much lower level. American affluence is reserved for the owners of America, not the workers.
Most jobs are going to be low level service jobs, and all jobs will be less stable, lower pay, no benefits. You should incorporate yourself so you can keep your rights and stop paying taxes, like the rich. High skill jobs will be filled by the talented youth from around the globe as they are willing to do the same work for much less, in order to escape their home country and their stifling poverty and injustice.
America will only start working again if American's start inventing and creating value, rather than living as parasites on the backs of the global economy. Few Americans actually create any value anymore, so few will compete, most will suffer great decrease in relative life style and opportunities.
Americans are now mostly lazy and fat, mentally addicted to pleasures, without education, they suffer from overconfidence and denial. Fifty years of prosperity has set them up for a fall.
Luckily, Americans due to technology, will not starve and die of disease and epidemic, as most other nations will suffer. The destruction of our environment will create new opportunities in energy and biological science. Lack of healthcare will create steady work for ignorant youth as they take care of aging parents and grandparents. Fear of outside forces will keep the military-industry strong. Americans will be better off than most in this new global economy, we will just loose our potential, and thus our 'American Dream'.
Where's the part where the 'Beast' rises out of the ocean and starts WWIII.
And are you a 'pre' or 'post' tribulationist?
Which is to say, Will George Bush, Sara Palin and the rest of the 'Holy Rollers' be 'taken up' in the Rapture before that happens...or after?
And if they're going to heaven, do I get a choice as to where I get to go?
Because if they're going to 'heaven', I'd rather be someplace else.
Now that the demand side of the equation is destroyed, there is no market for any more goods or services. Wages have declined for decades and the general public is already too far in debt to take on more, even if the banks were brave enough to offer more credit.
The only answer is a return to national policy that rewards the producers of wealth with a more fair share of the wealth they produce. And rewards corporations that move production into the U.S.
The right calls this wealth redistribution, but the wealth has already been redistributed. As the number of millionares increased, the percentage living beneath the poverty level also increased, by orders of magnatude. We are now more top heavy (with the top few percent holding more wealth) than when the economy crashed in 1929. This new guilded age must be brought back to sanity or we will become just another third world economy with the top few holding everything and the 95+% living in poverty, as serfs in the land their forfathers died for.
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