The number of Americans filing for unemployment has reached its lowest level in months, which suggests strength in the labor market. The Labor Department said that initial claims for state
unemployment benefits declined 18,000 to a seasonally adjusted 259,000
for the week that ended March 5. There has been a significant growth in United States consumer spending as the jobless rate fell and wage increases picked up, but the overall outlook
has been overlooked this year by worries over the health of the global
economy. Jobless claims are being watched for signs of labor market weakness
after the recent sell-off in stocks, but so far, the labor market seems
to be healthy. The unemployment rate held at an eight-year low of just 4.9% The unemployment rates in the United States still continue to drop, which consistently suggests job market strength is high.
http://www.nytimes.com/2016/03/11/business/economy/drop-in-unemployment-claims-suggests-job-market-strength.html?ref=economy&_r=0
I thought that this article was interesting. I am wondering if the decrease in unemployment was due to a mild winter that the united states had this year, since of the mild winter it may of decreased the amount of people that get laid off during the winter months because there is no work for them to do. it was also good to read that the worries of a recession are weak because of the increase of consumer spending.
ReplyDeleteIt's interesting to see that there is a decrease in unemployment rate, when there is also an increase in home values and stock market prices. The positive outlook on the economy helps support an increase in consumption, which in turn helps more businesses profit.
ReplyDeleteI feel that recently there has been a very negative attitude associated with the U.S. economy and it is very comforting to finally see a positive article. I hope the labor market continues to grow and offer jobs to as many people as possible. However, a question that was raised when reading this article is what needs to happen to continue this growth in the labor market?
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