http://money.cnn.com/2017/04/07/news/economy/march-jobs-report/index.html?iid=SF_LN
The article weighs in on the unemployment rate reaching levels that have not been reached since pre-recession in May 2007. The explanation behind this could be the great deal of jobs that Trump has created, however, the second full month in office did not do favorable numbers. Trump is keeping his promise and creating manufacturing jobs, but as these numbers get better, the wage gap gets worse. The article also explains how income distribution is getting worse. There are plenty of wages that are increasing, but primarily for the bosses and supervisors. The economy shows signs of full recovery since the Great Recession, however, I believe there are still some components to consider to be the strongest and most successful nation we can be. I will be interested to see how the changes will effect everyone as the Trump Administration moves forward regarding some of these issues.
5 comments:
It is good to see that unemployment has gone down which means there are more jobs and more people employed. However, it is concerning to hear that the wage gap and income distribution will only get worse. I will like to see what Trump's administration has to say about this. I feel like their only concerned is to decreased unemployment and they are ignoring other factors.
The fact that unemployment has been hovering under 5% for some time now is clearly a good sign for the economy, however many economists are right to point out that this can be a somewhat misleading indicator as well since it fails to consider those individuals who are "underemployed" or have simply stopped actively looking for work. It will be interesting to see moving forward how much credit and/or blame Trump receives for such economic markers of success.
Although many economist consider anything at or below 5 percent to be full employment like stated in other comments it does not account for those who are underemployed or are out of the labor force. I think if this was somehow calculated it would give a better picture. Its also important to remember the
business cycle last roughly 7 to 10 years and we are at 10 years meaning we are due for a correction and this low unemployment rate could be a strong indicator for that.
Yeah "underemployment" is an interesting caveat of this. With many service companies that offer positions to people who only work part time it interesting to see how this impacts the economy. Maybe we will have more people employed but fewer people receiving enough financial support from this. It is also interesting from a lifestyle standpoint of how we think of how people are employed to support themselves. The traditional idea of a 9am-5pm work day may not be the "norm" any more.
this is a good read. there has been a increase in the number of people that are being employed but they are not the high paying full time positions that people are looking for. it will be interesting to see how this benefits the economy because the government wont have to pay out as much in welfare because these people are making more money then they were which cuts back on the amount they get in assistance.
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