Unemployment hits 9.7%
Posted by Mary Caraccioli | Filed under Economy, Job search, World Economy
That is higher than economists had expected. However the number of jobs lost, while high, continues to be “less-bad.” What does it all mean? As someone who went through the unemployment process this year and who knows lots of other people in the same boat, consumers don’t spend when they aren’t employed. They also don’t spend as much if their friends and neighbors continue to get pink slips, because they fear they could be next. I don’t want to make too much of today’s 9.7% figure. Since last December I have heard the smartest forecasters predict 10% unemployment. So it some respects, the number is baked in the cake. But it is worth noting that unless Americans have jobs, they won’t be the world’s spenders. If we aren’t demanding products and services, who will? Without that demand, how do you sustain a healthy economy? -Mary
Tags: caraccioli, Economy, jobs, unemployment
