Although the demand for goods and services keeps climbing, companies are desperate to find people to hire. The consistent energy of the economy seems to be pushing itself to its limits. Economists are not expecting jobs creations to increase in 2018, not because companies are not hiring workers, but because there will not be people to take these jobs. This is as worst as it can get. The economist Jennifer Lee states, "If we see fewer jobs created it won't be because of slower demand. There's just not enough workers." In other words, the economy is making progress and does not show any indications of slowing down.
Sunday, December 3, 2017
The end of labor growth
In November, the American economy supplemented 200,000 fresh jobs. This amount of jobs have been added consistently after 2010. As a result, the total number of jobs added to the economy reaches 17.2 million new jobs. Additionally, consumer confidence escalated levels that have not been reached in 17 years. Along the same lines, the stock market keeps ascending to record high levels.
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At the economic outlook conference they all had positive outlooks and expected the economy to continue to grow. One potential threat they did list was labor growth decreasing. If people can't find work then the overall economy is probably doing terrible and overall happiness goes down. This article notices the halt in growth but believes demand will continue to rise and the economy will continue to grow. It will be interesting to see if the end of labor growth does anything to the economy in both the short run and the long run.
ReplyDeleteIn my humble opinion, I do not think this will be the end of the labor growth. This las few years we have seen the economy growing tremendously together with employment. I think that next year this will continue, but maybe employment is not going to be growing at the same as is doing it currently, but still will be growing. If it was the case that this stop to growing, then unemployment rate will get to increase and that will have several effects on the economy. In conclusion, like I said employment might not be growing at the same rate as it is right now, but still will be growing.
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