The
recent government cuts had many Americans in fear as they were scared the jobs
lost in the public sector might slow down the economy again. They feared that
these jobs were too important to our fragile economy and might cause the already
high unemployment to increase even more. However, these fears are slowly
leaving the heads of most Americans as the private sector continues to increase
employment. Last month alone private employers filled 176,000 workers with new
jobs, which greatly outdoes the public sector layoff of only 11,000. The good
news of the employment situation has even rubbed off onto the stock market.
Investors have seen this growth as a good thing, causing the stock market
climb. It is great to seen good healthy signs of economic recovery and it seems as though things are going to continue this way.
This is definitely good news for the employment rates. A loss of jobs in the public sector can cause a scare within the economy especially while the private sector is in debates. But to see that the private sector filled so many new jobs as compared to those lost in the public sector, is refreshing to a great boost to consumer confidence. The positive response from the stock market is also a great sign of stabilization and future growth.
ReplyDeleteThe budget sequestration of 2013 scared many individuals who thought that the budget cuts to the public sector would have a negative impact on the economy, even if they were implemented to cut back the debt. The loss of 11,000 jobs seems staggering, but compared to the 176,000 jobs created in the private sector it is actually very small. Even though it doesn't look like the sequestration will effect unemployment as much as everyone thought, it could still have other negative effects on the economy.
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