http://www.bbc.co.uk/news/business-25264866
Easily recognizable from the title, this article discusses the unemployment rate and celebrates the fact that it is at the lowest point within the last five years.
Other things to celebrate include the Dow Jones Industrial Average reaching nearly 200 points, the 203,000 jobs that were created, and the non-farm payroll figures were even higher than expected. All through the economy it is evident that we have been seeing growth, and citizens and economists can only hope that it will continue.
Because of such growth, Ben Bernanke hopes to end the quantitive easing program supported by the US central bank. In addition to this, the Federal Reserve might begin to release their huge stimulus program. As Bernanke said in June during a press conference, he hopes that the growth will motivate and encourage further job gains with all of the other gains the economy is currently seeing.
In my opinion, I think that a lot of people are seeing these statistics about the unemployment decreasing and not realizing these statistics have a good chance of being skewed due to the government shutdown. Many statistics disregarded government personnel and payrolls, so therefore, can the statistics even legitimately represent accurate unemployment figures? Probably not.
However, if people see that the economy is growing and see the skewed statistics to prove it, that may encourage them to continue working towards growth even more, stimulating the economy even further as a result. While the inaccurate statistics can be seen as a negative thing, they may impact the economy in a positive way.
Thursday, December 12, 2013
October Jobs Report: US Creates 204,000 jobs, Unemployment Rate rises to 7.3%; Huffington Post
http://www.huffingtonpost.com/2013/11/08/october-jobs-report-unemployment-rate_n_4235238.html
Due to the government shut down, the unemployment rate rose from 7.2% to 7.3% within one month. While 0.1% may not seem like much, that 0.1% represents 313,900 American people without jobs. However, a this number is skewed due to the shut down, and as portrayed through various other statistics mentioned in the article, the overall economic progression has been moving in a positive direction.
Hundreds of thousands of jobs were created, the number of people seeking unemployment benefits was decreasing, and employers began hiring more people. Economic growth rose to 2.8% from 2.5% in the previous quarter. Although we learned that nations should shoot for 4.0% in terms of economic growth, any step in the right direction should be recognized and a continued behavior. This economic growth could also just be a direct result of the seasonal change.. consumers and businesses spend more over the fall and winter months especially. It will be interesting to see if this growth will continue into the spring and summer months, or if the growth truly was just a reflection of the seasonal habits of consumers and producers.
While the majority of the statistics show that positive effects came about from the economic shut down, including many unemployment related statistics (despite the fact that this was not the reason for the shutdown), what is your opinion on the government shutdown as a whole and what was accomplished, if anything, during the shutdown?
Due to the government shut down, the unemployment rate rose from 7.2% to 7.3% within one month. While 0.1% may not seem like much, that 0.1% represents 313,900 American people without jobs. However, a this number is skewed due to the shut down, and as portrayed through various other statistics mentioned in the article, the overall economic progression has been moving in a positive direction.
Hundreds of thousands of jobs were created, the number of people seeking unemployment benefits was decreasing, and employers began hiring more people. Economic growth rose to 2.8% from 2.5% in the previous quarter. Although we learned that nations should shoot for 4.0% in terms of economic growth, any step in the right direction should be recognized and a continued behavior. This economic growth could also just be a direct result of the seasonal change.. consumers and businesses spend more over the fall and winter months especially. It will be interesting to see if this growth will continue into the spring and summer months, or if the growth truly was just a reflection of the seasonal habits of consumers and producers.
While the majority of the statistics show that positive effects came about from the economic shut down, including many unemployment related statistics (despite the fact that this was not the reason for the shutdown), what is your opinion on the government shutdown as a whole and what was accomplished, if anything, during the shutdown?
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