Sunday, October 5, 2014

Unemployment rate falls below 6%

http://money.cnn.com/2014/10/03/news/economy/september-jobs-report-unemployment-below-6-percent/index.html?iid=HP_River

For the first time since 2008 the Unemployment rate has fallen below 6%. The September reports show a unemployment rate of 5.9% and go on to show that this decrease in rate is not due to people leaving the labor force, but rather a large increase in the number of jobs. According to the report employers added 248,000 jobs last month, leading to the decrease in the unemployment rate. This decrease in the unemployment rate is a good sign that our economy if finally recovering, and with me graduating college next year I am glad this is happening right now.

8 comments:

  1. Its great to see unemployment drop even more. Just last month it was above 6%. I wonder how much more it will drop till unemployment gets to its natural rate. Hopefully this encourages Americans to consume more and really help the economy bounce back to pre 2008 levels. I'm also a big fan of unemployment dropping even more since I'm graduating this year and it gives me confidence in finding a job.

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  2. This monumental decrease in unemployment below 6% since 2008 is a huge confidence boost to the U.S. population. People will definitely be a lot more confident about the direction of the country in the future and other countries will probably have more confidence in investing in the U.S.. It will be interesting to see how long this will hold up since our economy is cyclical for the most part. It will also be interesting to see if this effects the next presidential election.

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  3. It is important to note that the labor force participation rate has still not returned to pre-recession levels. This could mean there still are some problems in the market or this could just be attributed to more and more baby boomers retiring. Some may want to return to work as the economy improves.

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  4. This is great news as we head into the final months of 2014. The boost in job employment will give the population a lot of confidence heading into 2015. Because of the gradual decrease every month since 2008, I expect to see the unemployment rate to continue to fall.

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  5. This can be completely justified by looking at the article, where they talk about the major sources of increase in jobs. Surprisingly restaurants and supermarkets are claimed to be the main resource of income, and not the military/ defense sector.

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  6. It is indeed great to see the unemployment rate fall after the devastating effects of 2008's recession. I feel the labor force participation has increased where, perhaps women on leave for family or elderly people retired have decided to come back to the working force. In addition, people might just be able to find more jobs, mainly locally, because of the economy gradually improving over the past few years. These factors might have led to the decrease in the number of people unemployed, and hence the unemployment rate of the county. I would also expect this rate to fall more in the near future, to contribute more to improvement in the US economy.

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  7. I think it is great that jobs are being created. However, a larger proportion of these jobs are coming from the professional field, rather than the manufacturing or low income professions, which should be the other way around.

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  8. It is a good thing that our unemployment rate is falling, but it is not a reason to celebrate just yet. Yes it is the first time since July of 2008 that the unemployment rate is under 6%, but there is still a problem of Americans who have stopped looking for work because they believe they cannot find work, and also people who are working part-time but can't find a full-time job. Not to mention that there has been zero growth in wages over the past year, which is very discouraging to those who will be entering the workforce shortly after college.

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