National unemployment is at 9.5%, the highest rate since the recession in the early 1980s. Not even during Stagflation was the job market this bad. But there is a glimmer of hope in the numbers.
First, the rate of increase in unemployment slowed considerably. Unemployment has increased at least .4% since November 2008. It went from just 9.4% to 9.5% in May to June.
Second, the number of individuals applying for unemployment benefits week over week has steadily declined all year long.
Third, the average number of weeks individuals have been employed and the number of long-term unemployed individuals have increased.
All combined this shows a stabilization in the job market. While unemployment could continue to rise, employers are largely holding on to their current employees. Unless something changes in the market, what is likely to happen over the next few months is a continued slow in the total number employed and as companies begin to rebound they will start to hire again, bringing the unemployment rate down. If these trends do continue it means the start of recovery.
A word of caution though. Much in the economy right now will swing on what the Fed does with interest rates. A radical change in the money supply would tighten up credit markets and could spook investment. However, leaving monetary policy loose too long will eventually (if not already) create significant inflation issues.
ZacharyU | July 9, 2009, 12:43am | #
One of the indication of stabilize economy is a high employment rate. The higher the unemployment rate, the worst the economy seems to be. Recession had been a major factor of retrenchment, rationally the company tends to hire more employees when the business is stable or during peak season , otherwise if they don’t meet that stability they will make a cutback through down sizing. Being unemployed causes financial worry, daily expenses bothers them. If you can't get the amount of your cash now that you'd like, because you had to spend more than you thought on an unexpected expense, and you need some budget support, then you can apply for a faxless loan through a payday lender, as many take applications over the phone or over the internet, and use direct deposit to wire the funds. It's not a reward, it's a cash advance to tide you over until pay day, if you ask how to get "my cash now?"Comment on this article: