Here is a bit of good news:
In February, the pace of job cuts continued to slow, marking the fewest number of job losses since February 2008. The service sector had job growth for the third month in a row and the manufacturing sector added around 3,000 jobs. Employment still falls short in the goods-producing sector. Monthly job cuts have steadily been on the decline. Many economists agree that companies are now switching gears from downsizing to hiring more workers.
It is a great piece of news that the pace of job cuts slows down. It indicates that companies will begin to hire soon. Actually, service sector has been adding jobs for three months and manufacturing sector is adding jobs for the first time since beginning of 2008. We believe that the recovery is well underway and we can expect that the economy will continue to add jobs in March.
ReplyDeleteThis is a key component in what I think is the formula to get out of the recession. Small increases in inflation will slowly bring down the real wages which will consequently decrease unemployment. It is very important that the government uses taxes adequately to keep inflation under control because we don't need another aspect of the economy to fix.
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